Big moves and profits for Citi Trends

The turnaround at Citi Trends seems nearly complete and now the urban fashion retailer is making some major executive moves just as it reported impressive fourth quarter results.

The retailer announced that Ed Anderson is retiring as CEO, effective March 21. Jason Mazzola, currently EVP and CMO, will become president and CEO effective March 22 and has been also appointed to the Board of Directors.

Additionally, Bruce Smith, the Company’s Executive Vice President and Chief Financial Officer, will also become its Chief Operating Officer.

The high level personnel moves were announced in conjunction with spectacular fourth quarter results that highlight the effectiveness of the company’s business model. Sales increased 15.2% to $181 million and same store sales increased 13.9% during the period ended Jan. 31. The strong sales fueled a dramatic rise in profitability, with net income increasing 213% to $4.7 million, or 31 cents a share, from $1.5 million, or 10 cents a share, during the fourth quarter the prior year.

“When I came back to the company at the beginning of 2012, my job was to lead a turnaround of the company,” Ed Anderson said. “That work is largely complete as the Company just reported a very successful 2014 and again is in strong financial condition. The successful turnaround of Citi Trends could not have been done without Jason Mazzola. He is an extraordinarily skilled merchant, leader and executive. He has earned this promotion and he will do well.”

Citi Trends Inc. operates 513 stores in 29 states.