Announcement • Dec 23
Party City Holdco Inc. Filed for Bankruptcy Party City Holdco Inc., along with its six affiliates, filed a voluntary petition for reorganization under Chapter 11 in the US Bankruptcy Court for the Southern District of Texas on December 21, 2024. The debtor listed both its assets and liabilities in the range of $1 billion to $10 billion. The debtor is represented by John F Higgins, IV, Michael Shane Johnson, and Aaron J Power of Porter Hedges LLP as its legal counsel. The debtor also hired Paul, Weiss, Rifkind, Wharton & Garrison LLP as legal counsel, Alix as consulting services, Kroll Restructuring Administration LLC as noticing agent, Gordon Brothers Commercial & Industrial, LLC as liquidation advisory services, and A&G Realty Partners, LLC as real estate advisory services. Announcement • Jan 02
Party City Holdco Files Form 15 Party City Holdco Inc. has announced that it has filed a Form 15 with the Securities and Exchange Commission to voluntarily deregister its common stock under the Securities Exchange Act of 1934, as amended. The par value of the company's common stock was $0.01 per share. Announcement • Sep 06
Levi & Korsinsky Notifies Party City Holdco Inc. Investors of A Class Action Lawsuit and Upcoming Deadline Levi & Korsinsky, LLP notified investors in Party City Holdco Inc. ("Party City" or the "Company") of a class action securities lawsuit. The lawsuit seeks to recover losses on behalf of Party City investors who were adversely affected by alleged securities fraud between November 8, 2022 and June 9, 2023. The filed complaint alleges that defendants made false statements and/or concealed that: (i) the Company affirmatively misrepresented that its capital resources “will be adequate to meet the liquidity needs for at least the next 12 months”; (ii) omitted that there was substantial doubt about the Company’s ability to continue as a going concern; (iii) downplayed the nature and extent of the Company’s then-existing liquidity problems; (iv) omitted that the Company’s existing credit facilities were insufficient to satisfy its operational needs and that it was unable to obtain additional loans in the normal course of business; and (v) omitted that there was a material weakness in its internal control over financial reporting. Announcement • Aug 04
Robbins LLP Files Class Action Against Party City Holdco Inc Robbins LLP informs investors that a shareholder filed a class action on behalf of all persons and entities that purchased or otherwise acquired Party City Holdco Inc. securities between November 8, 2022 and June 9, 2023. Party City sells party goods, costumes, decorations, and related items through retail and wholesale channels, primarily in North America. According to the complaint, during the class period, Defendants made or caused to be made misleading statements and omissions concerning the Company’s true financial strength. Specifically, in the Third Quarter 2022 10-Q, the Company: (i) affirmatively misrepresented that its capital resources “will be adequate to meet liquidity needs for at least the next 12 months”; (ii) omitted that there was substantial doubt about the Company’s ability to continue as a going concern; (iii) downplayed the nature and extent of the Company’s then-existing liquidity problems; (iv) omitted that the Company’s existing credit facilities were insufficient to satisfy its operational needs and that it was unable to obtain additional loans in the normal course of business; and (v) omitted that there was a material weakness in its internal control over financial reporting. As a result of these misleading statements and omissions, the Company’s stock price was artificially inflated throughout the class period. When the truth was revealed through a series of corrective disclosures, the Company’s stock price declined, causing compensable damages to Plaintiff and the Class. Announcement • Jan 11
Franchise Group Reportedly Could Be Looking At Acquiring Party City Franchise Group, Inc.(NasdaqGM:FRG) is seeking acquisitions of brands it can franchise to add to its expanding portfolio, including distressed assets, according to Axios. Party City Holdco Inc. (NYSE:PRTY), if restructured in bankruptcy, could be an attractive target, as it has engaged in franchising, the publication notes. Franchise Group has also looked at candidates in fitness, health and wellness, citing Vitamin Shoppe as an example of a successful acquisition. Reported Earnings • Nov 09
Third quarter 2022 earnings released: US$3.30 loss per share (vs US$0.025 loss in 3Q 2021) Third quarter 2022 results: US$3.30 loss per share (further deteriorated from US$0.025 loss in 3Q 2021). Revenue: US$502.2m (down 1.6% from 3Q 2021). Net loss: US$373.0m (loss widened US$370.2m from 3Q 2021). Revenue is forecast to stay flat during the next 3 years compared to a 5.8% growth forecast for the Specialty Retail industry in Germany. Over the last 3 years on average, earnings per share has increased by 76% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Board Change • Oct 31
High number of new directors Independent Director Sarah Dodds-Brown was the last director to join the board, commencing their role in 2020. Valuation Update With 7 Day Price Move • Sep 05
Investor sentiment improved over the past week After last week's 15% share price gain to €2.06, the stock trades at a trailing P/E ratio of 2x. Average forward P/E is 11x in the Specialty Retail industry in Germany. Total loss to shareholders of 55% over the past three years. Valuation Update With 7 Day Price Move • Aug 17
Investor sentiment improved over the past week After last week's 45% share price gain to €1.83, the stock trades at a trailing P/E ratio of 2x. Average forward P/E is 12x in the Specialty Retail industry in Germany. Total loss to shareholders of 58% over the past three years. Reported Earnings • Aug 09
Second quarter 2022 earnings released: EPS: US$1.44 (vs US$0.27 in 2Q 2021) Second quarter 2022 results: EPS: US$1.44 (up from US$0.27 in 2Q 2021). Revenue: US$527.4m (down 1.5% from 2Q 2021). Net income: US$162.2m (up 444% from 2Q 2021). Profit margin: 31% (up from 5.6% in 2Q 2021). The increase in margin was driven by lower expenses. Over the next year, revenue is forecast to grow 5.2%, compared to a 10% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has increased by 57% per year but the company’s share price has fallen by 31% per year, which means it is significantly lagging earnings. Reported Earnings • May 10
First quarter 2022 earnings released: US$0.24 loss per share (vs US$0.13 loss in 1Q 2021) First quarter 2022 results: US$0.24 loss per share (down from US$0.13 loss in 1Q 2021). Revenue: US$433.0m (up 1.4% from 1Q 2021). Net loss: US$26.9m (loss widened 91% from 1Q 2021). Over the next year, revenue is forecast to grow 6.8%, compared to a 12% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has increased by 25% per year but the company’s share price has fallen by 27% per year, which means it is significantly lagging earnings. Board Change • Apr 27
High number of new directors There are 6 new directors who have joined the board in the last 3 years. Independent Director Sarah Dodds-Brown was the last director to join the board, commencing their role in 2020. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Mar 01
Full year 2021 earnings: Revenues and EPS in line with analyst expectations Full year 2021 results: US$0.059 loss per share (up from US$5.24 loss in FY 2020). Revenue: US$2.17b (up 17% from FY 2020). Net loss: US$6.53m (loss narrowed 99% from FY 2020). Revenue was in line with analyst estimates. Over the next year, revenue is forecast to grow 5.9%, compared to a 17% growth forecast for the retail industry in Germany. Over the last 3 years on average, earnings per share has fallen by 3% per year but the company’s share price has fallen by 24% per year, which means it is performing significantly worse than earnings. Reported Earnings • Nov 11
Third quarter 2021 earnings released: US$0.025 loss per share (vs US$2.25 profit in 3Q 2020) The company reported a poor third quarter result with weaker earnings, revenues and control over costs. Third quarter 2021 results: Revenue: US$510.2m (down 4.4% from 3Q 2020). Net loss: US$2.79m (down 101% from profit in 3Q 2020). Over the last 3 years on average, earnings per share has fallen by 32% per year but the company’s share price has only fallen by 18% per year, which means it has not declined as severely as earnings. Valuation Update With 7 Day Price Move • Nov 03
Investor sentiment improved over the past week After last week's 17% share price gain to €6.95, the stock trades at a forward P/E ratio of 13x. Average forward P/E is 12x in the Specialty Retail industry in Europe. Total loss to shareholders of 20% over the past three years. Valuation Update With 7 Day Price Move • Sep 28
Investor sentiment improved over the past week After last week's 19% share price gain to €6.99, the stock trades at a forward P/E ratio of 14x. Average forward P/E is 13x in the Specialty Retail industry in Europe. Total loss to shareholders of 40% over the past three years. Valuation Update With 7 Day Price Move • Aug 26
Investor sentiment improved over the past week After last week's 15% share price gain to €5.91, the stock trades at a forward P/E ratio of 11x. Average forward P/E is 15x in the Specialty Retail industry in Europe. Total loss to shareholders of 55% over the past three years. Reported Earnings • Aug 06
Second quarter 2021 earnings released: EPS US$0.27 (vs US$1.39 loss in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: US$535.7m (up 110% from 2Q 2020). Net income: US$29.8m (up US$159.8m from 2Q 2020). Profit margin: 5.6% (up from net loss in 2Q 2020). Over the last 3 years on average, earnings per share has fallen by 55% per year but the company’s share price has only fallen by 22% per year, which means it has not declined as severely as earnings. Executive Departure • Jun 15
Independent Director Lisa Klinger has left the company On the 10th of June, Lisa Klinger's tenure as Independent Director ended after 6.0 years in the role. We don't have any record of a personal shareholding under Lisa's name. A total of 4 executives have left over the last 12 months. The current median tenure of the management team is 1.33 years, which is considered inexperienced in the Simply Wall St Risk Model. Recent Insider Transactions • Jun 15
Vice Chairman recently sold €556k worth of stock On the 9th of June, James Harrison sold around 65k shares on-market at roughly €8.56 per share. This was the largest sale by an insider in the last 3 months. James has been a seller over the last 12 months, reducing personal holdings by €2.7m. Analyst Estimate Surprise Post Earnings • Mar 12
Revenue misses expectations Revenue missed analyst estimates by 0.8%. Over the next year, revenue is forecast to grow 2.6%, compared to a 7.6% growth forecast for the Specialty Retail industry in Germany. Reported Earnings • Mar 12
Full year 2020 earnings released: US$5.24 loss per share (vs US$5.71 loss in FY 2019) The company reported a poor full year result with weaker revenues, weaker control over costs and no improvement to losses. Full year 2020 results: Revenue: US$1.85b (down 21% from FY 2019). Net loss: US$528.2m (flat on FY 2019). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 83 percentage points per year, which is a significant difference in performance. Is New 90 Day High Low • Feb 10
New 90-day high: €7.20 The company is up 179% from its price of €2.58 on 11 November 2020. The German market is up 11% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Specialty Retail industry, which is up 11% over the same period. Is New 90 Day High Low • Jan 08
New 90-day high: €6.70 The company is up 216% from its price of €2.12 on 09 October 2020. The German market is up 8.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Specialty Retail industry, which is down 1.0% over the same period. Is New 90 Day High Low • Dec 23
New 90-day high: €5.35 The company is up 98% from its price of €2.70 on 24 September 2020. The German market is up 7.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Specialty Retail industry, which is up 6.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is per share. Is New 90 Day High Low • Dec 08
New 90-day high: €4.22 The company is up 97% from its price of €2.14 on 09 September 2020. The German market is up 3.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Specialty Retail industry, which is up 1.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is per share. Is New 90 Day High Low • Nov 19
New 90-day high: €3.64 The company is up 101% from its price of €1.81 on 21 August 2020. The German market is up 3.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Specialty Retail industry, which is up 3.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is per share. Recent Insider Transactions • Nov 16
Vice Chairman recently sold €589k worth of stock On the 11th of November, James Harrison sold around 225k shares on-market at roughly €2.62 per share. This was the largest sale by an insider in the last 3 months. This was James' only on-market trade for the last 12 months. Analyst Estimate Surprise Post Earnings • Nov 13
Revenue beats expectations Revenue exceeded analyst estimates by 9.1%. Over the next year, revenue is forecast to grow 5.0%, compared to a 5.7% growth forecast for the Specialty Retail industry in Germany. Reported Earnings • Nov 13
Third quarter 2020 earnings released: EPS US$2.25 The company reported a decent third quarter result with improved earnings and profit margins, although revenues were weaker. Third quarter 2020 results: Revenue: US$533.8m (down 1.2% from 3Q 2019). Net income: US$239.7m (up US$521.2m from 3Q 2019). Profit margin: 45% (up from net loss in 3Q 2019). The move to profitability was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 115% per year but the company’s share price has only fallen by 36% per year, which means it has not declined as severely as earnings. Reported Earnings • Nov 10
Third quarter 2020 earnings released: EPS US$2.25 The company reported a decent third quarter result with improved earnings and profit margins, although revenues were weaker. Third quarter 2020 results: Revenue: US$533.8m (down 1.2% from 3Q 2019). Net income: US$239.7m (up US$521.2m from 3Q 2019). Profit margin: 45% (up from net loss in 3Q 2019). The move to profitability was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 115% per year but the company’s share price has only fallen by 41% per year, which means it has not declined as severely as earnings. Analyst Estimate Surprise Post Earnings • Nov 10
Revenue beats expectations Revenue exceeded analyst estimates by 9.1%. Over the next year, revenue is forecast to grow 5.0%, compared to a 5.7% growth forecast for the Specialty Retail industry in Germany. Announcement • Oct 28
Party City Holdco Inc. to Report Q3, 2020 Results on Nov 09, 2020 Party City Holdco Inc. announced that they will report Q3, 2020 results on Nov 09, 2020 Announcement • Oct 20
Party City Holdco Inc. Appoints Sarah Dodds-Brown to the Board The board of directors of Party City Holdco Inc. elected Sarah Dodds-Brown to the Board. The Board increased the size of the Board from eleven to twelve members and appointed Ms. Dodds-Brown to fill the vacancy. Ms. Dodds-Brown will hold office until the 2021 annual meeting of shareholders and until her successor is elected and qualified. Ms. Dodds-Brown was also appointed to the audit committee of the Board. Announcement • Aug 07
Party City Holdco Inc. Plans to Close Approximately 21 Stores Party City Holdco Inc. planning to close approximately 21 stores. Announcement • Aug 01
Party City Holdco Inc. to Report Q2, 2020 Results on Aug 06, 2020 Party City Holdco Inc. announced that they will report Q2, 2020 results at 9:00 AM, Eastern Standard Time on Aug 06, 2020 Announcement • Jul 08
Party City Regains Compliance with NYSE Continued Listing Standards Party City Holdco Inc. announced that it received written notification from the New York Stock Exchange that it has regained compliance with the NYSE continued listing standards. Brad Weston, Chief Executive Officer, stated, “We are pleased to have regained compliance with all NYSE listing requirements. We remain focused on our strategic plan, including initiatives underway to support our financial strength and establish Party City as the destination of choice for all things celebration.” As previously disclosed, on April 9, 2020, the Company received formal notice from the NYSE that it was not in compliance with the NYSE's continued listing standards as a result of the average closing price of the Company's common stock being less than $1.00 per share over a consecutive 30 trading-day period. The Company regained compliance after its closing share price on June 30, 2020 and its average closing share price for the 30 trading-day period ending June 30, 2020 both exceeded $1.00. Accordingly, the Company has resumed compliance under the NYSE continued listing standards and the “.BC” indicator following the Company’s symbol “PRTY” will be removed by the NYSE. Announcement • Jul 03
Party City Holdco Inc.(NYSE:PRTY) dropped from Russell Small Cap Completeness Index Party City Holdco Inc.(NYSE:PRTY) dropped from Russell Small Cap Completeness Index Announcement • Jul 02
Party City Holdco Inc.(NYSE:PRTY) dropped from Russell 2000 Index Party City Holdco Inc.(NYSE:PRTY) dropped from Russell 2000 Index