Gross profit margin up at Omaha-based apparel retailer

03 Sep '11

5 min read

Outlook
The Company expects sales for the second half of the year to be consistent with the comparable store sales trend experienced in the first half of the year. For the fiscal year ending January 28, 2012, management expects net sales to be between $553 million and $557 million, which reflect a slight comparable store sales increase. On that basis, diluted earnings per share are projected to be in the range of $1.22 to $1.27 (using a diluted share count of approximately 19.4 million).

For the third quarter of fiscal 2011 ending October 29, 2011, Gordmans expects net sales to be between $133 million and $135 million, which reflect comparable stores sales trends similar to the first half of 2011. The Company projects diluted earnings per share in the range of $0.18 to $0.19 for the third quarter (using a diluted share count of approximately 19.4 million).

For the fourth quarter ending January 28, 2012, the Company is forecasting total sales to be between $185 million and $187 million, which reflect a continuation of the comparable store sales trend, and is projecting earnings per share in the range of $0.51 to $0.55 (using a diluted share count of approximately 19.5 million shares).

Mr. Gordman added, "Regarding our expansion activities, we opened two stores in the Chicago market at the end of July and we will be opening three additional stores, including one relocation, over the remainder of this year. In addition, over the last few months we have refined our merchandising, marketing and inventory management strategies in an effort to drive comparable store sales growth in the current environment. While we are optimistic that our efforts will translate into an improvement to the current sales trend, our estimates for the back half of the year remain unchanged at this time. The increase to our full year diluted EPS guidance is attributable to the favorable performance in the second quarter relative to the high end of the guidance provided in the first quarter earnings call."

Gordmans features a large selection of the latest name brands, fashions and styles at up to 60 percent off department and specialty store prices every day. The wide range of merchandise includes apparel for all ages, accessories, footwear, home décor, gifts, designer fragrances, fashion jewelry, bedding and bath, accent furniture and toys. Founded in 1915, Gordmans operates 72 stores in 16 Midwestern and surrounding states.

Gordmans Stores Inc

More Apparel/Garments News - United States Of America...