Shares of Party City Holdco (NYSE:PRTY) increased double-digits Thursday after it reported first-quarter earnings of $0.01 per share that matched analysts’ estimates, compared to $0.07 per share in the year-ago quarter.
The party goods retailer’s stock was trading at $8.11 on Thursday midday, up nearly 12%.
The Elsford, New York-based company also reported that during the quarter it signed a letter of agreement for a new source of helium will provide additional quantities beginning this summer, and continuing for the next 30 months.
"We believe this new source should substantially eliminate the shortfall we are experiencing at current allocation rates and improve our ability to return to a normal level of latex and metallic balloon sales," said CEO James Harrison.
Party City said revenue rose to $513 million from $508 million in the prior-year quarter, missing the consensus estimate of $520 million. It reported a net loss of $27 million, compared with net income of $4 million in the year-ago quarter.
Party City also said it was closing about 45 stores out of a total of 870 locations.
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