Party City Shares Higher After Narrower Q1 Loss

Party City Holdco. Inc. reported late Thursday a first-quarter adjusted net loss of $2.9 million, or 3 cents a share, compared with a loss of $8.7 million, or 9 cents a share, a year ago. The party-supply retailer reported sales of $462.1 million in the quarter, a 7% increase over the first quarter of 2014. The company debuted on the New York Stock Exchange last month, opening at $20.50 a share and ending its first day up 22% at $20.70 a share. The company said Thursday it raised about $398 million in net proceeds from the initial public offering, which it used to redeem debt. Party City has entered an agreement with a Mexican company to open franchise stores throughout Mexico, and it expects to franchise at least 80 Party City stores by the end of 2024 with the first three stores being targeted for operations within the next twelve months. Shares of Party City rose 1.3% after hours Thursday after ending the day marginally lower.