NASHVILLE, Tenn., March 11, 2016 /PRNewswire/ -- Kirkland's, Inc. (NASDAQ: KIRK) today reported financial results for the 13-week and 52-week periods ended January 30, 2016.

Net sales for the 13 weeks ended January 30, 2016, increased 11.4% to $199.0 million compared with $178.7 million for the 13 weeks ended January 31, 2015. Comparable store sales for the fourth quarter of fiscal 2015, including e-commerce sales, increased 1.3% compared with an increase of 8.2% in the prior-year quarter. Kirkland's opened 12 stores and closed six during the fourth quarter, bringing the total number of stores to 376 at quarter end.

Net sales for the 52 weeks ended January 30, 2016, increased 10.7%, to $561.8 million compared with $507.6 million for the 52 weeks ended January 31, 2015. Comparable store sales for fiscal 2015, including e-commerce sales, increased 2.9% compared with a 6.1% increase in fiscal 2014. The Company opened 43 stores and closed 11 during fiscal 2015.

Net income for the 13 weeks ended January 30, 2016 increased 6.7% to $16.6 million, or $0.97 per diluted share, compared with net income of $15.6 million, or $0.87 per diluted share, for the 13 weeks ended January 31, 2015.

Net income for the 52 weeks ended January 30, 2016, was $16.6 million, or $0.94 per diluted share, compared with $17.8 million, or $1.00 per diluted share, for the 52 weeks ended January 31, 2015.  Adjusted net income, which excludes a $0.02 per diluted share charge in the first quarter of 2015 related to the retirement of the Company's previous CEO, for the 52 weeks ended January 30, 2016 was $17.0 million, or $0.96 per diluted share.

Mike Madden, President and Chief Executive Officer of Kirkland's, commented, "While 2015 presented challenges for Kirkland's and retail in general, we are enthusiastic about the progress we have made to support our growth plans and bolster the entire organization for the long term.  Our real estate effort is generating more consistency in our new store openings through process improvements and an enhanced site selection method.  Recent investments in our omni-channel initiative, while still early in the process, are beginning to have an impact as evidenced by a 38% increase in digital revenue for 2015.  We have made tangible strides in delivering a complementary customer experience between the channels."

"We are very pleased to have returned $51 million to shareholders during 2015 through a special dividend and share repurchases, reflecting our confidence in the long-term prospects for the Company and its position in the marketplace.  We ended the year in a strong financial position, with no debt and ample liquidity to invest in the business and execute our growth strategy."

Madden continued, "The retail environment continues to evolve at a rapid pace.  We are positioning the organization to respond to these opportunities effectively and nimbly through systems, processes and people. Our long-term earnings plan includes a goal to drive double-digit sales growth with improving profit margins as we increase store-level sales productivity, leverage our real estate opportunity and further expand our omni-channel capability – all with the intent of improving the overall customer experience and interaction with our brand."

Fiscal 2016 Outlook

Kirkland's is offering its initial outlook for fiscal 2016 on an annual basis and is discontinuing its practice of providing quarterly guidance. The Company expects to update its annual guidance, if necessary, each quarter and will continue to focus on communicating the interim drivers of its business fundamentals as well as an assessment of long-range goals.

Investor Conference Call and Web Simulcast
Kirkland's will host a conference call today, March 11, 2016, at 11:00 a.m. ET. The number to call for the interactive teleconference is (412) 542-4163. A replay of the conference call will be available through Friday, March 18, 2016, by dialing (412) 317-0088 and entering the confirmation number, 10080768.

A live broadcast of Kirkland's quarterly conference call will be available online at the Company's website www.kirklands.com under Investor Relations or https://www.webcaster4.com/Webcast/Page/957/13317 on March 11, 2016, beginning at 11:00 a.m. Eastern time. The online replay will follow shortly after the call and continue for one year.

About Kirkland's, Inc.
Kirkland's, Inc. was founded in 1966 and is a specialty retailer of home décor in the United States. Although originally focused in the Southeast, the Company has grown beyond that region and currently operates 374 stores in 35 states.  The Company's stores present a broad selection of distinctive merchandise, including framed art, mirrors, candles, lamps, picture frames, accent rugs, garden accessories and artificial floral products.  The Company's stores also offer an extensive assortment of gifts, as well as seasonal merchandise.  More information can be found at www.kirklands.com.

Forward-Looking Statements
Except for historical information contained herein, the statements in this release are forward-looking and made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.  Forward-looking statements involve known and unknown risks and uncertainties, which may cause Kirkland's actual results to differ materially from forecasted results.  Those risks and uncertainties include, among other things, the competitive environment in the home décor industry in general and in Kirkland's specific market areas, inflation, fluctuations in cost and availability of products, interruptions in supply chain and distribution systems, the ability to control employment, and other operating costs, ability of suitable retail locations and other growth opportunities, disruptions in information technology systems including the potential for security breaches of Kirkland's or its customers' information, seasonal fluctuations in consumer spending, and economic conditions in general.  Those and other risks are more fully described in Kirkland's filings with the Securities and Exchange Commission, including the Company's Annual Report on Form 10-K filed on April 14, 2015.  Kirkland's disclaims any obligation to update any such factors or to publicly announce results of any revisions to any of the forward-looking statements contained herein to reflect future events or developments.

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SOURCE Kirkland's, Inc.