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Tile Shop plunges after results, delisting (updated)

|About: Tile Shop Holdings, Inc. (TTS)|By:, SA News Editor

Tile Shop Holdings (NASDAQ:TTS) reports comparable store sales dropped 3.5% in Q3, primarily due to lower customer traffic.

Gross margin rate declined 180 bps to 68.8%, primarily due to higher levels of shrink and damaged inventory write-offs combined with a lower freight collection rate.

Adjusted EBITDA margin rate decreased 360 bps to 9.7%.

Inventory down 9.1% to $100.1M.

Store count flat at 140.

The company to voluntarily delist its common stock from the Nasdaq Stock Market, and based upon ownership of its shares by fewer than 300 holders of record, deregister its common stock under the Securities Exchange Act of 1934 and suspend its public reporting obligations.

Updated at 8:17 AM: Shares are down 53% premarket to $1.58.

Previously: Tile Shop Holdings EPS misses by $0.04, revenue in-line (Oct. 22)

Previously: Tile Shop Holdings suspends dividend and cancels share repurchase program (Oct. 22)

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