Pier 1 reports profit

Pier 1 Imports Inc. said Thursday it swung to a fiscal fourth-quarter profit, helped by improved gross profit margins, higher same-store sales and lower expenses.

The home furnishing retailer reported earnings of $13.7 million, or 16 cents per share, compared with a loss of $58.7 million, or 67 cents per share, in the prior year.

Analysts surveyed by Thomson Financial expected net income of 7 cents per share.

Gross profit margins were 31.8% of sales compared with 24.6% in the previous year.

Selling, general and administrative expenses dropped to $114.6 million from $164.8 million.

Revenue for the period ended March 1 declined 8% to $436.7 million from $473.7 million due to some store closings and one less week in the quarter than the year-ago period quick payday.

Analysts predicted sales of $448.2 million, on average.

Same-store sales grew 2.5%.

Same-store sales, or sales at stores open at least a year, is a key indicator of retailer performance since it measures growth at existing stores rather than newly opened ones.

Pier 1 (PIR) reported a full-year loss of $96 million, or $1.09 per share, compared with a loss of $227.6 million, or $2.59 per share, a year earlier.

Annual sales slipped 7% to $1.51 billion from $1.62 billion. 

Source

Comments are closed.