Exhibit 99.1
** NEWS RELEASE ** Contact:
Hot Topic, Inc.
Mr. Jim McGinty, CFO
(626) 839-4681 x2675
jmcginty@hottopic.com
HOT TOPIC, INC. REPORTS 10.8%
THIRD QUARTER COMP STORE SALES INCREASE
INCLUDING 11.2% COMP INCREASE FOR OCTOBER
THIRD QUARTER NET SALES INCREASED 32%
CITY of INDUSTRY, CA, November 5, 2003 -- Hot Topic, Inc. (Nasdaq
National Market: HOTT) announced net sales for the third quarter of fiscal 2003
increased 32% to $161.5 million from net sales of $122.6 million for the
thirteen weeks ended November 2, 2002. Comparable store sales for the third
quarter increased 10.8% from last year.
Net Sales Comparable Store
Sales Increase
(millions) % Increase This Last
Year Year
October $51.1 33% 11.2% 8.1%
Third Quarter $161.5 32% 10.8% 6.3%
Year-to-date $377.9 28% 6.8% 2.6%
The Company also announced that it expects to open 84 new Hot Topic
stores in 2003, four more than the previously announced 80 new Hot Topic stores.
The Company expects to end the year operating 52 Torrid stores and 502 Hot Topic
stores.
For more detailed information on October sales results, please call
(626) 771-0006 to listen to a recorded commentary. Additionally, a conference
call to discuss third quarter results, business trends, and other matters will
be conducted November 19, 2003 at 4:30 PM Eastern time. The conference call
number is (888) 868-9080, and will be accessible to all interested parties. It
will also be webcast at www.companyboardroom.com. A replay will be available at
(973) 341-3080, pass code 3265628, and at www.companyboardroom.com for
approximately 10 days.
Hot Topic, Inc. is a national mall-based specialty retailer of
music-licensed and music-influenced apparel, accessories and gift items for
young men and women principally between the ages of 12 and 22. Torrid, the
Company's second concept, is a mall-based specialty retailer of plus-size
fashion-forward apparel and accessories that targets young women principally
between the ages of 15 and 29. The Company currently operates 491 Hot Topic
stores in 49 states and Puerto Rico, 49 Torrid stores and Internet stores
www.hottopic.com and www.torrid.com.
Except for the historical information contained herein, this news
release contains forward-looking statements, including statements relating to
financial results, projections and other financial performance, and managing
growth. These statements involve risks and uncertainties, including risks and
uncertainties associated with meeting expected financial results, management of
growth, relationships with mall developers and operators, the risk that
available cash or mall space will not be adequate for planned expansion,
fluctuations in sales and comparable store sales results, risks and
uncertainties with respect to new store openings including risks associated with
the Company's new store concepts and Internet stores, music and fashion trends,
competition from other retailers, uncertainties generally associated with
specialty retailing, the effect of economic conditions, the effect of severe
weather or natural disasters, political and/or social changes or events that
could negatively impact shopping patterns and/or mall traffic as well as other
risks detailed from time to time in the Company's SEC reports, including its
Quarterly Report on Form 10-Q for the quarter ended August 2, 2003 and its
Annual Report on Form 10-K for the year ended February 1, 2003. The historical
results achieved are not necessarily indicative of the future prospects of the
Company.