Destination XL Group Inc.’s transition and expansion of its DXL retail stores paid off in the third quarter with higher comparable-store sales that pushed up the topline and helped narrow its loss.

But the retailer was cautious for the fourth-quarter outlook, citing warm weather for weaker demand of cold-weather apparel.

For the quarter, sales gained 6.4 percent to $99.6 million from $93.6 million in the same period last year. The loss narrowed to $5.5 million, or 11 cents per share, from $6.3 million, or 13 cents, last year.

The retailer said the total sales gain “was primarily driven by our comparable DXL stores, which increased $3.5 million for the third quarter. On a comparable basis, total transactions in the company’s DXL stores were up 5.8 percent over the prior-year third quarter.”

President and chief executive officer David Levin said the company was on track to open its 175th DXL store by the end of the fiscal year. “Our consistent performance for the first three quarters is right in line with our expectations,” Levin said in the report.

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“However, as we move into the fourth quarter of fiscal 2015, we are beginning to see slower-than-expected demand from our seasonal categories because of the unseasonably warm weather that has affected much of the country.”

Levin said as a result, the retailer is narrowing its full-year sales and earnings before interest, taxes, depreciation and amortization. “We remain on track with our fiscal 2016 projections for sales of $470 million and EBITDA of $35 million and positive free cash flow in fiscal 2016,” the ceo added.

For fiscal year 2015, total sales are now expected to be between $438 million and $440 million, which compares to prior guidance of sales ranging from $438 million to $443 million. EBITDA is now expected to range between $21 million and $22 million, which compares to prior guidance of $21 million to $23 million.

Separately, the company named Nancy Youssef to a newly created position of senior vice president, international business development. Youssef previously served as vice president, international business development for Genesco Inc. Her new role will be to focus on the international expansion of the Destination XL franchise.

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