Home / Knowledge / News / Fashion / Dillard's sales in comparable stores decline
Dillard's sales in comparable stores decline
Aug '08
Dillard's Inc announced operating results for the 13 weeks ended August 2, 2008.

Net loss for the 13 weeks ended August 2, 2008 was $38.3 million ($0.51 per share) compared to net loss of $25.2 million ($0.31 per share) for the 13 weeks ended August 4, 2007. Included in net loss for the 13 weeks ended August 2, 2008 is a pretax gain of $17.9 million ($11.2 million after tax or $0.15 per share) primarily related to the sale of an airplane and asset impairment and store closing charges of $9.8 million ($6.1 million after tax or $0.08 per share).

Dillard's Chief Executive Officer, William Dillard, II, stated, “We continued to manage our business conservatively during the second quarter in the prevailing economic uncertainty. However, our accomplishments with expense reduction were not sufficient to offset large disappointments in sales and gross margin.

Clearly, we believe our continued efforts to reduce both capital and operating expenditures and to close under-performing stores are appropriate as we weather challenging economic times. At the same time, we remain focused on fashion and on presenting our customers with an exciting and differentiated assortment storewide.”

Dillard's will drive awareness of its new fall looks with the “Dillard's – The Style of Your Life.” campaign which will be featured in top fashion publications and online and supported by in-store events.

Highlights of Dillard's second quarter include:
• Control of inventory in a difficult retail environment with comparable inventory declining 5%.
• Reduction of advertising, selling, administrative and general expenses (“S G & A”) with a decline of $17.2 million during the second quarter.
• Continuing review of store base for closures with seven more announced since the first quarter press release for a total of 14 store closures announced to date for fiscal year 2008.
• Repurchase of $17.4 million (1.8 million shares) of Class A Common Stock under the Company's $200 million share repurchase plan.

Sales for the 13 weeks ended August 2, 2008 were $1.608 billion compared to sales for the 13 weeks ended August 4, 2007 of $1.649 billion. Total sales declined 3% during the 13-week period. Sales in comparable stores declined 4%.
During the 13 weeks ended August 2, 2008, net sales were above the Company's average performance trend in the Central region and below trend in the Eastern and Western regions. Sales in the juniors' and children's apparel category and in the home and furniture category were significantly below trend during the period.

Gross Margin/Cost of Sales:
Gross margin declined 170 basis points of sales during the 13 weeks ended August 2, 2008 primarily as a result of increased markdowns in a notably difficult sales environment. Inventory in comparable stores declined 5% as of August 2, 2008 compared to August 4, 2007. Cost of sales as a percentage of sales for the period was 70.2% compared to 68.5% for the prior year second quarter.

Must ReadView All

Courtesy: Fancycrave.com from Pexels

Apparel/Garments | On 22nd Jun 2018

EU's retaliatory duty on US apparel takes effect

As part of the three-pronged response outlined by the European...

NCC applauds House passage of farm legislation

Textiles | On 22nd Jun 2018

NCC applauds House passage of farm legislation

The National Cotton Council (NCC) of the US has welcomed the passage...

Courtesy: Roman Pohorecki from Pexels

Apparel/Garments | On 22nd Jun 2018

UK launches inquiry on sustainability of fashion industry

The Environmental Audit Committee of the UK Parliament has launched...

Interviews View All

Krishnanand Tripathi
Textrade International Ltd

We believe in vocational education for entry-level employees, offering...

Rahul Bhadani

Navigating through catalogues is a bit hasslesome

DK Sharma
Velocity Apparelz

We constantly communicate with employees at all levels

Tejas N Patel, Navin D Patel

Founded in 1999 by Navin Patel in the name of Tejas Fabrics with 100...

Urmil Arya

Sushila International, a well established textile organisation established ...

Kamal Kulshreshth

Colorjet is among the fastest-growing wide format digital inkjet print...

Johan Berlin
InvestKonsult Sweden AB

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

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Divvya and Nidhhi Gambhir

<b>Divvya and Nidhhi Gambhir</b> started their career with the launch of...

Pranav Mishra

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


Leave your Comments

June 2018

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

news category

Related Categories:

Advanced Search