TCS - Earnings call transcript Q2 2017 | Container Store Group, Inc.

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Operator

Greetings, and welcome to The Container Store Second Quarter Fiscal Year 2017 Earnings Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference call is being recorded. And it is now my pleasure to introduce your host, Ms. ICR. of Devine Shannon you. Thank Ms. may begin. you Devine,

Shannon Devine

and Good for Results joining today for Container afternoon, Conference Store's Earnings everyone, The XXXX Second us Year thanks Quarter Call. Fiscal

Chief Executive today Jodi and for their will and Speaking question. Reiff, we made Administrative Chief remarks, the Melissa Jodi After are have Taylor, open Financial formal Melissa and Officer. Officer; call

The anticipated to and both constitute of plans, Before during this undertake Such SEC the made not Act provisions of statements that certain and risks harbor strategies filed goals made forward-looking we and Securities safe cause comments pursuant begin, that our may differ to and does XXXX. on Store are I need June to known Private today X, to forward-looking update in The Those from release Container statements. financial this and Litigation forward-looking are report and our regarding Container statements. forward-looking annual you and statements our date on within the performance the uncertainties remind their referred such of the issued actual of to today results meaning of and press obligation call, to XX-K the Store's subject call unknown statements as with The are in any could are important Reform made factors materially Form XXXX.

press measures measures measures release A Store's on Finally, the to call. financial GAAP in directly speakers non-GAAP may most comparable available today. is The this non-GAAP certain refer schedule or the of to issued reconciliation also adjusted Container the financial

release, the the by the not containerstore.com. will website have Investor to a Relations turn press you obtain may one of do visiting over Melissa? now If at I Melissa. page call copy of you today's

Melissa Reiff

fiscal Jodi follow quarter with are hurricane-related you greater progress top financial of results review markets. joining with expectations that key result for Texas our headwinds and initiatives. of We're our then in despite performance highlights outlook. discuss begin bottom the our I’ll in with thank call our second will Florida ahead of and our line Shannon, the we're you, our both deliver detail making today. QX and and the to our and happy Thank on all review a

few across efforts it past and business productivity broad-based and the profitability efficiency These Custom to product saw addition, positive two positively Our a our again the Closets improvement these sales-revitalization marketing once contributed has comp impact contribution driven capable one customer of been our the specific or and to of. initiatives We sales continue that we categories contribution that and drive business we QX. a in included operations comp our our improvements is improvement quarters, in trend. focus which three point slightly in experience Rather, our will actions results, believe along store cannot merchandising, collective work store other the with we know this reflects optimization collective notable to from in last over store sales months. have the

combined positive comp of to prior up dollars fiscal in the X.X% our Overall our X.X% Jodi the by year with driven store store as increase the which sales million, release due period the for up X.XX% sales in primarily a impact Elfa discuss to $XXX.X performance the pleased of sales are were third-party sales. currency net by translation increased foreign new U.S. as more compared third-party will year, of were we to X.X%. half in saw XXXX earnings sales and in raise outlook Given detail first our outlined quarter XXXX, second for shortly. fiscal you for net

of Hurricanes increase the store Our Harvey month hurricanes, these point did from XX we each estimated quarter. increases store in the headwind of of impact sales an sales basis comp deliver Despite inclusive was comp and X.X% Irma.

basis suffered QX damage, employees of after slight consolidated leverage adjusted impact by our were mid ones we running store our QX for four to long-term increase base gross of six sales quickly $X.X $X.XX headwind impacted, to San comp resulting the and approximately strategic and EPS. our a our grateful $X.XX in of our stores and storms was our to directly by year. Florida Harvey, and our delivered and importantly, mix-driven in employees their up store are devastating of With we're you Antonio last XX stores making the our EPS to are increase total, to and elements from points activities glad in on minimal that like in now in area approximately to Houston the and in SG&A, related sales Most Irma. properties stores In we a that XX% our the EPS and in our of I'd Our with progress million XX% loved only central of adjusted update $X.XXX safe so stores impacted margin and we help were are impacted getting on plan. these

total stores, opened Livingston, fiscal year We Staten stores four. currently opened brick-and-mortar stores. York, Island, we month stores XX New our Jersey bringing two Regarding in new to for New last and operate the this

And a be Mexico, Our performance which foot expectations. new of July, New pleased opened past stores. continue the continues above our location, to first Albuquerque, perform as and this XX,XXX our is reminder, overall, footprint we in with to store square reduced

testing part as strategy and the and these and sales redesign expectations. successfully results opening test-and-learn been great our compared have store sales determine pro brand different our in have each date, of of year to strategies no and forma To progress opening testing plan pro store. We investments our and we continue best with the ensure its store first store to sales degradation openings returns exceeds also Dallas or opens our to in to for grand-opening We're in each different of resulted achieves new flagship approach And approaches less tailored evaluating making our to forma brand strategies different our openings. of fiscalXXXX tests for pre- costs expectations.

talented other We coming plan. January learnings team applying rationalization as tweak will is of today, embedded of in and completed SKU obtained existing have fiscal this to very and along The analyze the years. people the our redesigns the from is XXXX. QX the the of future designing Construction begin evaluate completion and our expected things refine with redesign optimization fully in in in projects of way part results, we plan and Container a to Store stores future and for Among

once which XXX contributing store to well of points Custom as second to Closets impact comps product delivered the Closets again completion our Elfa products products. our sales, Regarding by performance, strong as TCS new positively continue introduction merchandising, driven closet June basis comp quarter and

comps were to quarter refresh deliver product performance. other to improved the campaigns positive in very pleased our In our as efforts to sales category see we addition, second our merchandise contributed

in a I'll the speak achieving we investments, and, moment. second two cost savings seeing are our certain including third-party, in responsible will insight by in this manner that our needed big well the we us believe about encouraged of consumer our We're a in the with goods projects completed growth reinvest that a collaborating project. allow fund targeted fact, strategies, opportunities During business to of further very quarter, as to savings work, as results project a to infrastructure

a We year. engaged now are will with remainder comprehensive of the optimization fiscal price span also in project third-party the that this

update retail that deep to use have information. analytics our objective our our later you year in dollars more margin ensure we the data Our will as pricing and to in maximizing gross is is we business,

and Turning now to customer optimization marketing.

and our spend of traction evidenced Web-generated including another as work to are optimizing digital strong sales. continue model on and sales were increased media only. sales We our over Click XX.X% for mix quarter direct-to-consumer Pickup our & online up by XX%, seeing sale from

and we've continue with more ran With and announced to cable our welcome television networks. also drive less – elevate November as national as through offers, targeted spend online commercial been as XX-second with This both to to And POP! earnings We last new discounting. HGTV of launched a redemptions. our sign-ups frequency program and perk well POP! POP! highly improve evaluate deployment a positively X. increased impacting our DIY with interface, campaign X able August call, we on we on or

through part the commercial reminder, January our marketing an estimated stores, the the assess for ads partnership as on this we of to print full-page includes the is the and sponsoring medium. the available. campaign this We the to in brand XXXX impact Magazine And HGTV DIY of of magazine is ads. selling reallocation TV well a sales evaluate our digital future e-mails banner as integrated our possible home, As that Ultimate of Retreat running plan television once further plan in and to the data impact spend partnership Network

you well efficiency, really It's in and automation big been that productivity this budget operational with may in went and for we Coppell, on throughout coming considerable that investment both as distribution in rewarding project. improvements Texas we Regarding time center, savings our live fiscal recall process within during our XXXX, see to are to throughput as center our continued and in automation fiscal XXXX these payroll operations. from benefiting increased distribution due

three also and deep are best-in-class we of software. of the first chain the phases of implementation distribution Additionally, into supply

To and finally, with effective team, flow completed of phases be the team create and keeping control of process and making our as to our as to continue XXXX, Analytics. I and and during end EVP as completed mind. supply to XXXX strengthen with plan throughout of end, narrow changing talent investment increase the retail we We us strengthen succession of scheduled in are is mentioned rapidly early a And XXXX. well an our EVP decisions on phase execution. earlier, identify merchandise chain. this Strategy focused to talent adding provide an This first the are to speed side, The needs even leadership important further always of of to top at investments expected is people an leadership incredible and the world more enable fiscal the we in span final our we planning to of fiscal more of Merchandising this

quarter summary, towards So in in progress strategic as well the as pleased made our performance second the we're our with priorities. financial

plan stage plan to and proceeding set further and to progress. believe to is improve we we on ongoing will future, optimization drive results in really the the our Our profitability ultimately improved look for according and building financial and efficiency the forward sales

please our and would detail? to – would now go more you you outlook So in please Jodi, financial results

Jodi Taylor

and good afternoon, you, thank everyone. and Sure, Melissa

a headwind For our continues quarter. million, approximate total positively million business contribution XXX approximately retail consolidated X.X% Store comp driven impact a $X.X or to were consolidated net $XXX.X and to Custom year to by includes ended September comp million, sales store comp quarter new sales. the increase. to prior X% for point up contribute The sales hurricane-related XXXX, to second Closets up were of X.XX% store an the $XXX.X Container This store point for basis compared store period. XX sales XX, comp sales our basis our Sales store our quarter sales performance with to the sales to

mentioned, hurricane-impacted footage and our and XX the including square stores were at store approximately and all and the of as performance, second square Custom XX end across ended Melissa comp As of XXXX. with sales approximately of positive the gross well August million month quarter as product footage fiscal the the stores quarter, to the the X of September categories was improved of as broad-based million and of compared We gross Closets quarter geographies. throughout X.X

increased $XXX.X were foreign Now in of sales to AB. the a reflecting In markets. increase higher net third-party the sales, consolidated products consolidated gross Elfa and Container at margin million, the X.X% by of quarter. Gross was business-to-business with primarily turning basis during basis The XX business higher due in offset both the margin from partially currency installation up International U.S. promotional to on second X.X%, profit is lower margin to dollars offset improvement of and gross Elfa gross retail XX services down margin FX Store sales primarily partially business quarter, points. positive were dollars, sales second margin and spending translation impact of lower less in The points, by gross gross impact Nordic driven Elfa's contracts. activities positive of which by increased X.X%

material efficiencies. increased margin SG&A has modified previously lower we XX.X% model, goods expenses partially offset we've As cost at with sold as stated, production our which direct installation by cost offset was services. impact these higher flat was associated the Elfa by of of gross

Now to on moving SG&A.

leverage primarily compared of a contributed was to savings plan offset quarter XXX as in to fiscal points basis increase. as basis consolidated includes incurred basis associated partially insurance The points SG&A ongoing when This due costs, was third-party increased to by As percentage part was of efforts efficiency plan, in by year in net primarily of second optimization period. well the sales optimization expenses SG&A. optimization the XXXX cost. prior increased XX.X% sales, for the the and implementation SG&A, offset plan XXX points increase cost, the leverage excluding of the consulting with which to the as XXX to lower of occupancy savings This which due

largely be particularly this year. the As benefits expected a reminder, through benefit the with second we realized of half expect to our of optimization XXXX plan, flowing fiscal cost the sold, in goods of

to this year. one two of We million this from approximately New store compared expenses QX in year. second preopening last store $X.X last QX opened year to $X.X openings decreased million in quarter quarter as in the

incurred also new preopening We Island, York stores in our and quarter some Livingston, New opened expenses Staten both October. this that New Jersey for

opened new the is for today, total of four. stores year As the

expense was XXXX quarter Our period. million, up $X.X fiscal the year of in prior XX.X% from net interest second the

to During term to the we amendment principal term senior August the amendment second loan date facility million. of quarter, interest and maturity the This increased the rate of extends which XXXX. applicable margins we our reduced the XX, our aggregate amount loan completed $XXX secured

resulting of the issued press of fiscal the approximately upon of million, total interest XXXX outlined $XX the we amendment, incremental year. expect completion release $X for in interest expense for in we million expense approximately As

positive primarily on of due debt The second of in As of year. part last change to was The effective effective quarter tax quarter tax million the loss $X.X compared second the for the also this in during domestic of amendment, is XXX.X% to negative the rate we continue recorded the tax rate in extinguishment XX.X% QX, our of quarter. of of state impact changes expiration effect the XXXX the quarter. this the Despite the be certain of awards full tax approximately rate for earnings, expect stock-based compensation year mix fiscal to and XX%. unusual to rate foreign we and tax rate

These or $X.XX of Our $X.XX of last year. adjusted to the share $X.X million quarter compared income approximate $X.XX per million last or hurricanes. quarter net per the generated share to or as $XXX,XXX $X.XX per in loss adjusted negative net net was we second million $X.X the $X.X quarter as share or in per an approximately attributable include an for basis, of to year. $X.XX per the income share second of impact share compared income results net On of

facilities opened from costs, million cash of Now and approximately $XXX.X million. turning million the same in the $XX.X $XX.X credit end and net to combined down inventory stores end to On with quarter largely of management. the despite to increase levels TCS the the second year. XX improved XX year from of X.X% decline quarter the inventory inventory at at $XX.X balance last cash, the ended million hand revolving availability sheet. ended the outstanding last quarter We basis, a time with borrowings deferred with of quarter were on We second XX.X%, financing per-store debt in year down down with on at the due this the in

expectations, quarter for we sales, comp Given are ahead fiscal net raising sales and that our for second XXXX. EPS consolidated of store outlook results were adjusted our our

prior outlook item to. line well press we that outlines outlook release as updated on as Our our our each guide

currently well our full fiscal as expect still be the we XXXX XXXX by and consolidated plan, million. improvement savings be impact and program to the to the tax optimization driven continue XX%, for of efficiency is in $XX approximately expect approximately TCS SG&A rate margin a operating our as We to fiscal expected CapEx

initiatives of the analytics. most to will our heard to the are to in proactively you savings on well Melissa merchandising, on these momentum. of continue in and of selected investing allow projects talent as drive strategic augmentation, also our We believe specifically As areas technology and investments we cost portion the as focus and our mention, a and that us opportunistically goods business build

quarter, in third approximately headwind XX a quarter of basis of expect marketing pressure projected and fiscal the to of points to year-over-year to and quarter specifically, as third compared on into SG&A costs in timing primarily the related the shift third from Looking fourth XXXX the place SG&A we will These expenses. leverage a shift technology-related fiscal some into of This last XXXX. year. quarter SG&A are

In XXXX earn and EPS fiscal one-third being QX we result, half have you. adjusted as QX of to fiscal our summary, all our with EPS to to strategic make we second our our of in seen. the in with project We quarter third derived the pleased approximately second historically are you forward a of year, quarter with progress our As virtually we very continue in the priorities. and on performance Thank of adjusted speaking two-thirds look call. profitability toward our currently we

to Now call over the can Devine? the turn I'd back open for your operator like line that the to so questions. we

Operator

Thank you.

We Forbes Securities. first question-and-answer with be the will Instructions] of a Steven Guggenheim Our question comes conducting [Operator session. line now from

Steven Forbes

points, right, of briefly then Custom Elfa on, the I the how called right, the to afternoon. annual the whether that I timing just drivers and around that timing the impact context right? window, – this or Elfa? some closet year Elfa mentioned last it the it think I any there XXX year? you anticipated Is out, compares And give itself. points XX sale. touch department guess with Closets, just or us Can will you Good of TCS up basis was Closet improvement, basis last you start sequential from So quarter.

Melissa Reiff

can Melissa. the year compared same. this you I the last year to timing the tell it’s Steve, Elfa of is Hi, sale

other want has not So And to the you Jodi, changed, Steven. question? address that then,

Jodi Taylor

Custom And contribution you're Sure. the question, an Closets. from did acceleration on Closets in our Custom see our Steve. Hi, coming comp right, the sales we growth,

know, it noted, us. stat we QX, area, stat, such since focus a and Closets to TCS key sharing why in importance Closets it And QX. have growth of points of XXX you which, As it's business. strategic to continue area to QX see you is XX our that a we which the now points we was was shifted XXXX. that in as basis fiscal critical basis our in versus of really in simply stores That's TCS And

So that's base, really we it driving even greater and largely still the a kind look contribution. it's And become more selling. although the back of of part if step drove positive Elfa at what is around acceleration, comp

had we So in Closets focus quarter really shifted terms Custom overall a of how that successful for has really, us.

Steven Forbes

timing And last a that freeze the I'm when increases, cycling me correct in the as of about believe, then the guys wrong September. you year, hits and that wage believe I follow-up, I here, right, you if think had

give and and guess, this seeing, So about context the the are of January? July just you're if retention? regulatory that and some out we in you're that us anticipated increase impacts kind market I upcoming think can of mean, employee there last then you wages pressures through with I around, flowing seeing general as some

Jodi Taylor

that lifted do as be freeze, that, add to within despite our to leverage have did we take do, to still our you course, And business. to outlook. September Steve. in But embedded, right, is of in our want Melissa, we fact, we it. able I'll in, wage achieve you're and expect that, And may to planned

In that course, market are, conditions, carefully. the we of general of monitoring terms very

do know, tend the As to higher we pay retailer. than you typical

that see wage meaningful don't to we're something is as we what paying. environment expected cause sort of terms current this us, for discussion pressures versus us that in any in currently of So

Melissa Reiff

Jodi that always accordingly. carefully talent. haven't And we so we seen We're market people, has watch we said, great pay that in terms looking great of that really not retention, Steven, – And an been for for as issue.

Steven Forbes

all. Thank you,

Operator

you. Thank

comes from line question. your Fassler Sachs. question next with Our Goldman with Matt the proceed of Please

Matt Fassler

margin My in with question saw contrasting QX margin afternoon. Thanks relates first and if in so you Talk QX, to experience experience less which here gross just that year-on-year was obviously, saw gross good we you year-on-year year-on-year was and you about business the lots QX, much, that less pressure. saw or breakeven favorable. drivers, environment in the difference would. of the more This

Jodi Taylor

and that. Matt, I’ll Hi, take Sure.

margin a overall Container gross As basis, you've basis points. us XX just up look gross margin The basis consolidated points. And XX say, down at heard was on if was the you Store segment,

the gross and same well variables growth and We us, in service was associated installation that saw margin as with strong that in as the of costs and the sales. the have terms play headwinds BXB model two for lower the we

basis improvement benefit offset activities that our margin offers. this QX by was from And from and from points the level gross targeted the offers. in with back, promotional saw quarter promotional as to lower really lower as partially we more a contracts, merchandise significant – However, campaigns stepping benefits well most due QX that associated this more discounting FX targeted came promotional was XX to

With the more we the and and we've effective and maturing POP! even there, our to some program have continue and intelligent customer data offers. have targeted our success seen behaviors, really we more generated good about loyalty more scale of

do something we replicate continue we forward. can moving to is So this believe

a goods read our sales, at profit average. lower the And least portion SG&A we than the a I'll so has areas terms forward, but that gross a thinking project, it greater the modestly couple still company mind the other for structure just project is of QX. in it a a second, And cost lower in operating That's Matt, Just benefits of concluded margin also, rate of while then relatively the side. your that of is of at it at reminders BXB the has on profile, small growing business. total a of

into it that the the to in in we And costs takes accelerating our so just to QX and get move of start that's expect have, expect – that ultimate we to the those cost embedded see to new concessions price. impact outlook, with and because QX, we beyond as would the benefits we

Matt Fassler

you've spoke the optimization you expected in second And about Understood. as your which would lag. and about register front And How that plan, number up? early then costs, of to pretax then up August to $X.XX $X.XX of the $X.XX. you did benefits you which believe release, And about my so you much you spoken it question, did book charges. that Today, spoken $X.XX expected to narrowed I have current quarter? where show you in

Jodi Taylor

$XX costs is We that it's In quarter, third-party book to Sure. the SG&A. this to amount parts. all quarter, going we year Jodi We at we're two fiscal essentially or plan, again. and share. that's then it did for this that which two the Elfa. the the – first able of were million end $X.XX to ahead TCS optimization our first is through of believe the really higher and consulting costs related parts And the costs we the breaks the down this And it in plan was and of why go are range, which the in at nail per into severance both booked optimization incur

a So in of those point XXX hit our SG&A, because basis you'll expenses. see

we you the XXX terms in by noted SG&A. basis leverage we raised or them, If of we points exclude

aren't that all costs those So incurred.

benefits, until benefit, the end And elimination front second goods to but on the of had flow said not at we at those particularly As year. end, in of the SG&A we the then through the we we've the side expect the get before, all of the benefit, costs occurred have any QX. cost really job the incurring half all of

some the as So half of we savings started see those QX, entire but second SG&A will in benefit well. to those

Matt Fassler

the gross second the half? to of expect up for $X.XX in show that $X.XX of most the benefit So you year

Jodi Taylor

That’s correct.

Matt Fassler

Thank so you Great. much.

Operator

Thank line you. Binder the with proceed comes question. Jefferies. question from with your next Instructions] [Operator Please Our of Dan

Dan Binder

sales. you. store was around question Thank My comp

hurricanes, just after your First, of around just but detail, in versus give of the then, about, And people within bit how replacing I you momentum bit about don't bit us July. little the expect traffic period, et a than looked comp. Adjusted you're out lower cetera? little I hurricane maybe I And in and are little benefit color just ticket now think has for when curious you if wondering there X.X unique in the running household had was helpful. July directionally it comps. quarter-to-date? you a specifically break the recovery was that might I if that. And you it furnishings, came issued do know something was a mode you could was be X-K color

Melissa Reiff

and It’s – Dan. Hi, Melissa. Jodi, second want the you the to take one. take will first I'll question then,

reflect it's QX things improvement, all the the obviously, to doing with thing, The that. specific what we the of It's the many and really collective one about trying truly of a delighted good comp just done first question are accomplish custom employees of of communicating script, our think as it's how lot alluded impact hard little And do of our not work it's that we've results. also, in kind a focused and sales what the in teams. a And results all color store exactly We've our customer that. our to our to initiatives, late around and I I been in business revitalization do of experience. marketing, the we're with operations really of to incredible, and job all and Dan,

seen as you're spend, traffic and conjunction media model. ticket, We digital, right. as our regarding then forget, of well a with few are we in mix improve reallocation past more over the have is in all we of our the And but So things and it's really that improvement both been out all I to, many initiatives that to can't tell trend combination traffic break you Dan, don't and of that designed the and ticket will drivers. And quarters.

good a thing. that's So

Jodi Taylor

Yes.

four as the think days. But had of to answered to stores five six closed we quantified hurricane comps basis well. – five said for to base impact We the know Houston Florida XX% I that had there our you've four affected about of days. stores was just I for our about of and We closed question XX we points.

not was to it's expected to to Everything it sort really be been prior. notable call to the of where any We're impactful impacts trending and seems quarter. out stabilized post-hurricanes. where we and So definitely seeing back

part there performance second had they throughout right, of – August things. the month, the and because Bob obviously question because trend, impacted our callouts or comp half about the being hurricanes, then for you that's in and – One, no then were So of asked in also yes, that July couple by ended the And you, largest up you're a that's a I quarter. Dan. cadence And the quarter. think September, the we

up we also the sales Elfa saw the I did month pleased we're July flow strong free the It quarter. some around of all ended ended the And our quarter. promo of strongest installation. did just would say We the the the metrics. up overall, being across to we that conclusions Elfa during We quarter very we're improvement and second with guess that that see seeing

Melissa Reiff

Yes. months three And all were comps. positive

that's So good a thing.

Dan Binder

on could I If a follow-up. just

you less you the I to seeing big on your less promotional? That being about activity was just industry, margins. obviously you? Or your a promotional curious, if be were talked you less broader was promotion at impact that unique allowed You to had also promotional. industry look lower

Jodi Taylor

Dan, year-over-year us. improvement say to largely unique that would I was our

to to making sure returns sense eliminating those make in able able been every that we're targeted data for and more promotion really those sure we're be that simply smarter we've really think analyzing and we're our profitability and focused doing. much and I use don't are that and make

Melissa Reiff

targeted. Much more

Jodi Taylor

don't it's broader. think I

us. I think it's to more specific

Dan Binder

you. Thank

Operator

next line Please from comes with McClintock Matt Our question Barclays. your proceed of question. with the

Unidentified Analyst

thus the has Matt. question in been Can give process I details like for misheard far? the on if it any redesign. process And had rationalization. but I on sounds [ph] apologize a Dallas the this Cait on SKU I is This the you embedded just

if as it So rolled all kind be so, this will until to Dallas is test-and-learn is a complete? of the well? Or stores redesign out activity

Melissa Reiff

Hi, Cait, it's Melissa.

a as once analyzing be out it our store. evaluating roll then would plan of and the embedded then right, to with of it, our You're actually to other flagship carefully implemented appropriate. in and And redesign stores is lot it tested,

kind about we're I pricing we But rationalization, annually midst, program, of in fit SKU that all and also in mean new they as the I out So optimization said our SKUs, year. too, don't the yes. the forget, every XX% our of together. change it's script, –

what So sense. learn. optimization, SKU we out makes test then roll looking it are We'll new sense; to old we'll, makes stores just pricing and again, what at And going as rationalization, be to appropriate. stores and

Unidentified Analyst

Thank Great. you.

Melissa Reiff

you. Thank

Operator

further time. to this no comments. I'd turn closing at are the floor management over questions like to for back There

Melissa Reiff

so to want to again Thanksgiving – I Devine, so Jodi And you And want and and QX. just a will of and and to everyone look end to we everybody for attention you, Thanks holiday Thank a forward your want wish time wish definitely I thank talking to Happy much. season, Great. I most much. interest today. at wonderful and the

Operator

This concludes today's teleconference.

disconnect your lines Thank you for You may your participation. at this time.

Container Store (TCSGQ) 7 Nov 172017 Q2 Earnings call transcript