Home / Knowledge / News / Apparel/Garments / Comparable store sales decrease at Reitmans
Comparable store sales decrease at Reitmans
06
Sep '08
Sales for the six months ended August 2, 2008 decreased 0.9% to $517,820,000 as compared with $522,637,000 for the six months ended August 4, 2007. Comparable store sales decreased 4.7% in a challenging retail environment characterized by unseasonable weather conditions, reduced customer traffic and reduced consumer confidence.

Operating earnings before depreciation and amortization for the period increased 9.1% to $103,319,000 as compared with $94,691,000 last year. A stronger Canadian dollar and tight inventory management positively impacted operating margins. Higher depreciation expenses due to an increased number of stores in operation and lower investment income negatively affected earnings before tax.

Net earnings increased 6.7% to $53,821,000 compared to $50,461,000 while diluted earnings per share increased 8.6% to $0.76 per share compared to $0.70 per share for last year. The Company had 970 stores in operation at the end of this period compared to 935 stores at the same time last year.

Sales for the second quarter ended August 2, 2008 decreased 0.8% to $289,502,000, as compared with $291,942,000 for the second quarter ended August 4, 2007. Same store sales for the comparable 13 weeks decreased 4.5%. Operating earnings before depreciation and amortization (EBITDA(1)) for the period increased 6.7% to $63,982,000 as compared with $59,941,000 last year.

Net earnings and diluted earnings per share increased to $35,385,000 or $0.50 per share as compared to $32,077,000 or $0.44 per share for the same period last year.

The Company adopted the Canadian Institute of Chartered Accountants new standard relating to the accounting for inventory costs (section 3031 - Inventories) in the first quarter of fiscal 2009 retrospectively, without restatement of prior periods.

The adoption of this new standard resulted in an increase in operating earnings of $2,746,000 for the three month period ended August 2, 2008. In the first quarter of this year, this accounting change reduced operating earnings by $2,721,000 such that the net effect of this accounting change for the six month year to date period was a $25,000 increase in operating income.

Sales for the month of August (four weeks ended August 30, 2008), as a result of the continuing difficult retail environment, increased 0.7% with comparable store sales decreasing 2.3%.

During the second quarter, the Company opened 10 new stores comprised of 4 Reitmans, 2 RW & CO., 2 Thyme Maternity, 1 Penningtons and 1 Addition Elle; 4 stores were closed. Accordingly, at August 2, 2008, there were 970 stores in operation, consisting of 377 Reitmans, 164 Smart Set, 57 RW & CO., 75 Thyme Maternity, 14 Cassis, 163 Penningtons and 120 Addition Elle. An additional 21 stores are scheduled to open this year, 20 stores will be remodeled and 6 stores will be closed.

At the Board of Directors meeting held on September 4, 2008, a quarterly cash dividend (constituting eligible dividends) of $0.18 per share on all outstanding Class A non-voting and Common shares of the Company was declared, payable October 30, 2008 to shareholders of record on October 16, 2008.

Reitmans (Canada) Limited


Must ReadView All

'Sportswear is much more mainstream than earlier'

Fashion | On 20th Jul 2018

'Sportswear is much more mainstream than earlier'

The business of sportswear has evolved at a fast pace over the years. ...

Courtesy: YKK

Textiles | On 20th Jul 2018

Japanese firm YKK explores opening office in Uzbekistan

Japanese company YKK recently discussed with the Uztuqimachiliksanoat ...

HFPA alerts member firms on latest US tariff announcement

Textiles | On 20th Jul 2018

HFPA alerts member firms on latest US tariff announcement

The US Home Fashion Products Association (HFPA) has alerted its...

Interviews View All

Yash Maniyar
Rekha Maniyar

Indian fashion market is growing at a staggering rate

Luke Otten
Wigwam Mills Inc

Wigwam aims to recycle discarded yarn that doesn’t make it through the...

Headhonchos
Indian fashion industry

Cotton consumption will keep growing in the Indian fashion industry

Suresh P Bagrecha

Komal Texfab, founded in 1981, is into manufacturing of knitted fabrics,...

Sugandha Bhardwaj

<div>New Delhi-based Brinjal Designs Pvt Ltd manufactures home furnishing...

Harmeet Singh

New Delhi-based Jogindra Industries Private Limited provides an assortment ...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Nisha Chanda
Whistling Woods International School of Fashion

<div>A lack of upgraded courses in costume designing and fashion as per...

Akta Adani
India Boulevard

India Boulevard is a San Francisco-based curated fashion marketplace that...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


July 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Advanced Search