Interviews
News Flash
Same-store sales flat in Q3 - Christopher & Banks
23 Dec '11
5 min read
Results for the Nine Months Ended November 26, 2011
• Net sales were $344.0 million, as compared to $348.5 million for the nine months ended November 27, 2011. Same store sales declined 3% in the first nine months of fiscal 2012.
• Operating loss totaled $39.2 million, or 11.4% of net sales. This compares to operating income of $6.0 million, or 1.7% of net sales, for the comparable nine month period last year. Operating loss for the first nine months of fiscal 2012 includes the aforementioned asset impairment and restructuring charges.
• Net loss totaled $39.3 million, or $1.11 per share, which includes $12.2 million, or $0.34 per share, of restructuring and estimated asset impairment charges. This compares to a net loss of $5.4 million, or $0.15 per diluted share, for the first nine months of fiscal 2011, which included severance charges of approximately $0.03 per share and a non-cash charge of $0.36 per share related to the valuation allowance on deferred tax assets referenced above.
• Asset Impairment and Restructuring Charges
On November 11, 2011, the Company announced its plans to close approximately 100 stores, most of which are underperforming. A majority of the stores are planned to close by January 2012.
In the third quarter, the Company recorded an estimated non-cash asset impairment charge of $11.4 million related to the closing stores and to stores it plans to continue to operate and which are targeted for rent renegotiation.
The Company also recorded approximately $0.8 million of severance charges in the third quarter related to closing stores and an October reduction in force.
Third Quarter Balance Sheet Highlights
The Company ended the third quarter of fiscal 2012 with total cash, cash-equivalents and investments of $74.7 million, as compared to $102.3 million at the end of last year's third fiscal quarter. The Company had no outstanding borrowings under its revolving credit facility during the quarter.
Inventory totaled $58.2 million at the end of the third quarter of fiscal 2012, as compared to $46.0 million at the end of the third quarter of fiscal 2011. The increase in inventory was largely due to higher e-commerce inventory and a shift in payment terms made by the Company in February 2011, which became effective in the second quarter of fiscal 2011. Inventory per store, excluding e-commerce and in-transit inventory, increased 8% as compared to last year's third quarter.
Capital Expenditures
The Company funded approximately $11.1 million of capital expenditures during the first nine months of fiscal 2012. Total capital expenditures for the year are expected to be approximately $13.5 million, down from the earlier estimate of $16.0 million.
• Net sales were $344.0 million, as compared to $348.5 million for the nine months ended November 27, 2011. Same store sales declined 3% in the first nine months of fiscal 2012.
• Operating loss totaled $39.2 million, or 11.4% of net sales. This compares to operating income of $6.0 million, or 1.7% of net sales, for the comparable nine month period last year. Operating loss for the first nine months of fiscal 2012 includes the aforementioned asset impairment and restructuring charges.
• Net loss totaled $39.3 million, or $1.11 per share, which includes $12.2 million, or $0.34 per share, of restructuring and estimated asset impairment charges. This compares to a net loss of $5.4 million, or $0.15 per diluted share, for the first nine months of fiscal 2011, which included severance charges of approximately $0.03 per share and a non-cash charge of $0.36 per share related to the valuation allowance on deferred tax assets referenced above.
• Asset Impairment and Restructuring Charges
On November 11, 2011, the Company announced its plans to close approximately 100 stores, most of which are underperforming. A majority of the stores are planned to close by January 2012.
In the third quarter, the Company recorded an estimated non-cash asset impairment charge of $11.4 million related to the closing stores and to stores it plans to continue to operate and which are targeted for rent renegotiation.
The Company also recorded approximately $0.8 million of severance charges in the third quarter related to closing stores and an October reduction in force.
Third Quarter Balance Sheet Highlights
The Company ended the third quarter of fiscal 2012 with total cash, cash-equivalents and investments of $74.7 million, as compared to $102.3 million at the end of last year's third fiscal quarter. The Company had no outstanding borrowings under its revolving credit facility during the quarter.
Inventory totaled $58.2 million at the end of the third quarter of fiscal 2012, as compared to $46.0 million at the end of the third quarter of fiscal 2011. The increase in inventory was largely due to higher e-commerce inventory and a shift in payment terms made by the Company in February 2011, which became effective in the second quarter of fiscal 2011. Inventory per store, excluding e-commerce and in-transit inventory, increased 8% as compared to last year's third quarter.
Capital Expenditures
The Company funded approximately $11.1 million of capital expenditures during the first nine months of fiscal 2012. Total capital expenditures for the year are expected to be approximately $13.5 million, down from the earlier estimate of $16.0 million.
Christopher & Banks Corporation
Popular News
Leave your Comments
Editor’s Pick
Therese Premler-Andersson
Textile Machinery Association of Sweden (TMAS)
Esteemed Clients
-Ltd..jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Thermore (Far East) Ltd.")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Telangana State Industrial Infrastructure Corporation Limited (TSllC Ltd)")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Taiwan Textile Federation (TTF)")
