Party City announced on Thursday that it will be selling Halloween costumes on Amazon’s platform.
According to Party City CEO James Harrison, the limited partnership will help his company target millennials. “[T]he program also creates an additional channel of distribution that allows us to leverage our dynamic manufacturing and distribution capabilities,” Harrison said in a statement.
Party City will continue to run its own website. If successful, the company will expand also into Christmas and New Year’s decorations.
“Amazon is like the most trafficked mall,” said Party City CFO Dan Sullivan to CNBC. “Our intent is to put up another storefront” that will complement Party City’s existing locations and online business, he explained.
Party City just reported second quarter results at the end of June. For the quarter, sales climbed 3% to $561 million. Analysts had been expecting $563.9 million.
Net income hit $28.5 million, or 29 cents a share. This is compared to $25 million, or 21 cents a share, from the year ago quarter. Excluding one-time items, Party City earned 40 cents a share, coming in one penny above analysts’ estimates. This was also higher compared to earnings per share of 28 cents for the same period last year.
Disclaimer: We have no position in Party City Holdco Inc. (NYSE: PRTY) and have not been compensated for this article.