Party City finds new helium source to revive the deflated balloon business

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Party City has been grappling with a helium shortage, but says they have found a new source

If it seems like parties have been a little less festive lately, it might be because of a helium shortage that has grounded the balloon business.

The helium shortage created a 200-basis-point headwind for first-quarter results, according to James Harrison, chief executive of Party City. Wholesale sales of Mylar balloons were down about 8% due to the shortage, which is expected to be a headwind once again in the second quarter.Now, Party City has found an alternative source for about 15% of its annual helium requirement, which should help shoppers get the party started.

Party City reported earnings that matched the FactSet consensus but missed on sales, thanks in part to “helium headwinds.” “This year, after careful consideration and evaluation of our store fleet, we’ve made the decision to close more stores than usual in order to help optimize our market level performance, focus on the most profitable locations and improve the overall health of our store portfolio,” said Harrison.Still, the company said that its analysis has uncovered a “whitespace” of about 200 new stores across the United States and Canada.

 

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Yes, that's correct😀💋

Perhaps you are correct

The fact that we’re using our finite supply of helium to blow up balloons that will long outlast said supply of helium is proof that we don’t deserve to be here 🙄

The government has been stockpiling helium since the 1960s.

Helium is a rare commodity that is needed for medical stuff, when they say new supply, do they mean supplier? Or was more found?

So instead of conserving scarce helium to use in useful technology such as MRI machines, we’re just gonna use it all for Elmo shaped balloons for little Johnny and Sally on their first birthday. We really are doomed as a species.

STOP RELEASING BALLOONS!! releasefeathers instead. It looks cool and it doesn't kill our wildlife!

So then why are they closing 45 stores?

Free market working as it should

Plankton.

Guess not

Helium is critical. Using it to blow up balloons is a waste.

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