joining you, Good thank delay. for apologize everyone, the Ian. for today. you morning, again, us Once we and Thank
know, tape remarks we of our a As advance. in normally probably prepared most you day
I in do improve then on accomplishments will performance, overview have brief strengthen headwinds focus overall uploading of for and balance morning. of the the many begin For sheet, performance initiatives this will that address our and trouble apologize. a strategic some servers quarter, had which financial our and We quarter, key it the reason with we second our the during the faced.
discuss and which then given earning adjusted guidance. provide our then factors will in has will results to and revenue full-year detail adjusted color our additional I the those rise some Mike financial discuss full-year guidance. around adjusted
for Overall expectations. Following second which, below we call will results quarter were the up our your questions. and earnings open revenue
of the and X.X% beyond the include months consolidated many We basis, and -X.X% store helium to had X.X% results experience of currency six revenue the anticipated. and X.X%. These respectively. our in quarter quarter impacts the and of shortages for markets six comparable sales months for a the continued what result in negative we constant On increased
The the represented helium to points half challenges a of first year. balloon category alone generally comp over with respect entire to basis the the headwind XXX
As were both and metallic impacted. categories the balloon negative latex
in softness with on breath impact continue assortment be related birthday of City that we have can In in which the addition our believe we sales to balloons, to categories, consumers to other the to also associated for. of see rely full the inability especially upon come offer to juvenile attributed Party
six the sales Total a a saw and XX.X% be related product Amazon On of a positive quarter this we note, including marketplace. and businesses pickup, and continued online, negative digital to sales buy the XX.X% XXX respectively. on digital months year-to-date. XXX basis store sales non-balloon on in our momentum points comped including estimate We headwind and effect for up between
adversely slowed six the balloon products our well. the after declined and bps too businesses as flat XX wholesale for currency constant by affected for impact in the were sales product the latex were consumer and of helium quarter revenues foil as These from acquisitions, consumer adjusting Total sales by headwind for franchise results months.
Excluding balloons, the consumer impact of metallic increased our revenues North products American wholesale X.X%.
acquired six Mexico, in Australia, stores months. conditions. plan QX strong X.X% impact adjusting businesses After weak perform U.K. generally in the despite challenges the for presented were Internationally, the Europe, to and continue the dollar by for the of on and economic
a issues, helium freight store For due optimization cost previously the to initiative, cost of arising cost, year's were from mix flow unfavorable XXX foreign associated the chain margins exchange. XX.X% gross with through capitalized and higher quarter, points net primarily of declined last the and product basis supply
million. sales and $XX year of quarter slightly second than the generated the Despite the was pressures, $XXX we million below $XXX Adjusted over free our which for flow expectations. EBITDA of cash weaker margin the historically Year-to-date EBITDA is first totaled of year. softer half the half the million
is I XXXX during our As during quarter for mentioned significant debt us first the reduction this priority year. call, capital
this other will the transactions The with of our priority. coupled We reduce these by underway improving levels us transactions substantially while specific with align strength yearend business. of this the initiatives recently outcome when to announced leverage two long-term year enable which
Firstly, periodic on report into Realty. we June entered Spirit XX, transaction sale-leaseback the disclosing that have on company Form-XK with filed a
aggregate New estate Chester, center Under Prairie, factory balloon reported successfully injection price of three all terms in transaction, terms an the New assets facilities with that of Mexico purchase this arrangements for in Concurrently, Minnesota; moulding Albuquerque, the foil associated and of we for XX distribution years. sold we into entered with York; real initial we $XXX Eden facility lease consideration Anagram have in the our million.
further EBITDA year-end or of Monetizing proceeds of rate assets, real-estate pay the transaction this cap only these able X.X%. at to which at our were used down reduce debt and will were multiple We to times original the leverage levels guidance. XX effective an our complete beyond
Party we government Canada's they approval our closed expected City Tire of The Earlier Canadian respected and of assets agreement one conditions, entered by subsidiary. retail which and have to to including Canadian X. an acquired subject into is most close announced retailers, today, customary that October business transaction, we Corporation, largest with whereby the is
years. products ongoing also with between the to relationship initial Canadian American retail the Canadian an on that of addition term agreement agreement the an the this sales American In to Party locations of agreement. contemplates products double consumer average, the over XX nearly business supplied transfer Tire into assets, North and and the a Canadian The term the establishes City consumer will of Tire the transaction Canadian
XXX the partnering identifying to and similar leverage leaseback and brand look This population, franchise our truly is proceeds of the the this European theaters, within Canadian reduce will this their a levels. of Canadian and aligns transaction Australian brand for Canadian expanding innovation. to XX% with XX-minute in to Tire category. our million aforementioned our grow Canada. those while transactions were leverage and of Mexico, with are the overall Canadian. network With of will international transaction over retailers our market, domestic serve throughout of strong Tire the store through City's partnerships, to approximately Like The Party resource drive acquisition to positioning grow $XXX massive uniquely product positioned locations ourselves party strategy and sale primary as relationships the
faith supply the this with Canadian of huge premier one make Party of growth believe in category affirmation of Canada's position retailers us and long-term business category. belief party Tire partnership overall. with and is of in viability vendor and the we and an City a endorsement Having relationship a this our the the in retail concept in long-term the Finally, is our investment partnering
to both respect these revenues and For effects the capital transactions has been with of guidance full-year of adjusted to reflect earnings.
by our I As by in during targeting to our stated cash a model, flow business and we are call, reduction between in million of $XXX addition million XX/XX/XXXX. last the $XX capital year-over-year generated networking strong
the as quarter. a reduction manifest We this expect majority fourth to of see
seasonal As over. fall we inventory significantly reduce our carry
the other reduce on to will target. leverages the to that achieved to down targeting date While up we seem our by debt. capital and long-term which million throughout opportunities, basis, exceed can consolidated hope on We to debt reduce approximately year-over-year be free and Currently, significant. progress strategic a $XXX exploring business pay are focused in quite all
our progress of to defining procure make brand to adequate to continue our satisfy ability for We this category. regarding consumers demand helium quantities
a As persisted, headwind. quarter I mentioned creating earlier, the expected second shortages
are More headwinds rapidly importantly, abating. these however,
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our is wells put expected primary we third-party to speak, our into us of This with needs. from beginning from our our these existing helium distributed to XX% providers, are allocations other suppliers, along stores. and of helium north be As
early in provider, come October would of tentative over a reached is have to requirements. our we agreement another us put XXX% online expected which with and Additionally, at
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helium headwind second guide. the reflected basis represented costs gross point we During and quarter, these our a XX this in full-year margin higher
we our the portion drive closed profitability we sales parts in approximately of to opportunity was recapture of the the to the a stores our at call, This markets. evaluate was approach those transferred productivity they to conducted during the first in portfolio mentioned of other comprehensive improving XX over overall level course as where XXXX the aimed market As our improvement. fleet an a there believe of to stores quarter review substantial resulted close decision opportunity to store door
July closed fully XX and stores. liquidated As XX, have of we
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fill to characteristics stores we with During can achieve such to markets customers. we provide. three as offer will plus opened percent markets or with greater concept time looking are to largest void per have If whitespace this require format the several we successful quarter, new XXXX what approximately sales performance These store we stores importantly associates foot interact our designed and and These test markets. would smaller foot, inventory providing turns, unique the see what of opportunity inventory while less available where tailored assortments. in to work square most distinct improved curated towns the XX square smaller are stores ROIC in a college of as XX,XXX format sales and that better free-up XX% augment
differing will we During using in strategies results see enter the approach been selling initiatives around Halloween quarter, encouraging continued and also traffic. the have season, media The customer at our we advertising you strategies to as season. extremely aimed to driving several pricing these pilot media the
will the year significant Halloween that year-over-year position heading of about see sales second than improve which stock various our not our help spoken we comp as season. perhaps tailwinds the more have in We expect store in the half we performance, into the
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revenues American X.X%. stores second business excluding quarter, and adjusted third-party the North products the grew anagram the acquisition for net of During on
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As most our share shelf aware manufacturing you of growing several is of for important reasons. are
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multiple times these controlling Equally continue to base diversify important sourcing our in allows geographies manufacturing to trade into of global our China. from away tensions us
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new On the the million. annual tariffs, duties subject our approximately purchases $XXX subject from to of XX% total are China
tariffs, through when earlier of mitigate increases prices. the and with these resourcing, to necessary to pass As we in look prices will the tariffs these better self-manufacturing, look higher on vendor form
Weston we addition be I'm important developments Group. position. second Party Retail half to of from in Holdings the $X believe year team into City in extremely and significant President executive the excited have mitigation of the potential of The join was least quarter certainly less the any City efforts, our and of Holdings CEO as than final the this but these to million. Brad impact Brad City For that the absent pleased Party tariffs leadership Party not
and and Brad's the next growth in him Dick's especially deep business. from retail years Goods initial success, exact retail, strategies uniquely positions he his both side experience motion Sporting lead focus and will sales knowledge to which will key will performance. business of many and be on put of the develop where at our It's the Brad's primarily roles store into Petco growth and and chapter the comp processes drive
also well. business of develop understanding to future consumer this shape knowledge During to help and will and our as time, he strategies broader a product operations those begin
well was Helium. terms margins in quarters as getting been I look as you second factors to being as of the to we forward summary, better know revenues These all of the both our quarter full-year attributed have adjusted next to few guidance. shortfalls the Brad incorporated much softer in of anticipated In evolve. had than with
Looking helium half start and second are year from to forward the helium become a retail headwinds availability a the tailwind. of should abating the this month to perspective,
We mentioned are reviewing earlier. our given and tailwinds promotional Halloween closely accounting I which the strategies
strong this later business operational of present have by calendar, impacted and following we benefits that We that that IP to the made and supply remain many investments in encouraged helium XXXX. fronts Halloween year the themselves opportunities growth believe availability greater disruptions we made from will and the chain progress Thursday including extremely
that the and for year. our call the details results financial Correale I'll our further will of the turn Mike to who balance with around expectations And over provide
