Home / Knowledge / News / Apparel/Garments / Women's apparel chain CBK Corp sees weak earnings in Q3

Women's apparel chain CBK Corp sees weak earnings in Q3

26
Sep '08
Christopher & Banks Corporation reported results for its fiscal 2009 second quarter ended August 30, 2008.

Second Quarter Highlights:
• Total sales for the quarter ended August 30, 2008 were $131.6 million compared to $141.1 million for the quarter ended September 1, 2007.
• Same-store sales for the quarter ended August 30, 2008 were down 13 percent as compared to the quarter ended September 1, 2007.
• Net income for the second fiscal quarter ended August 30, 2008 was $0.8 million or $0.02 per diluted share. Results for the second quarter were reduced by a non-cash pre-tax long-lived asset impairment charge of $1.2 million, or $0.02 per diluted share, related to the Company's Acorn division. In last year's second quarter, the Company had net income of $3.4 million or $0.09 per diluted share.

Second Quarter Results:
Total sales for the quarter ended August 30, 2008 were $131.6 million compared to $141.1 million for the quarter ended September 1, 2007. Same-store sales for the quarter ended August 30, 2008 were down 13 percent compared to the quarter ended September 1, 2007.

Merchandise buying and occupancy expense was $81.5 million or 61.9% of sales this quarter compared to $90.6 million or 64.2% of sales in last year's second quarter. Merchandise margins improved by 480 basis points. This improvement was partially offset by deleveraging of buying and occupancy costs as a result of a 13 percent decline in same-store sales during the quarter.

Second quarter selling, general and administrative (“SG&A”) expenses were $41.4 million, or 31.5% of sales this fiscal quarter, compared to $40.6 million or 28.8% of sales in the second quarter of last year. The increase in SG&A as a percent of sales was primarily due to a general deleveraging across most expense categories as a result of the 13 percent decline in same-store sales during the quarter.

Depreciation and amortization was $8.0 million in the second quarter this year compared to $5.5 million in the second quarter last year. Depreciation and amortization this year includes approximately $1.2 million in long-lived asset impairment charges at the Company's Acorn division.

The Company's second quarter net income was $0.8 million or $0.02 per diluted share. In last year's second quarter, the Company had net income of $3.4 million or $0.09 per diluted share.

At the end of the fiscal quarter, the Company had $84.0 million in cash, cash equivalents and short-term investments. The Company also had approximately $18.5 million in long-term investments consisting of auction rate securities. This compares to $90.9 million in cash, cash equivalents and short-term investments as of the end of the comparable quarter last year. Last year the Company's auction rate securities were classified as short-term investments.

Six Month Results:
Total sales for the six months ended August 30, 2008 were $291.3 million compared to $290.5 million for the same six month period ended September 1, 2007. Same-store sales for the six months ended August 30, 2008 declined six percent. Net income for the six months ended August 30, 2008 was $12.1 million or $0.34 per diluted share compared to $15.1 million or $0.42 per diluted share for the first six months of last year.


Must ReadView All

Pic: Shutterstock

Apparel/Garments | On 26th Oct 2020

25% Bangla garment manufacturing to be automated by 2023

A quarter of garment manufacturing activities in Bangladesh will be...

Pic: Shutterstock

Textiles | On 26th Oct 2020

BCI to cease all field-level activities in China's XUAR

Sustained allegations of forced labour and other human rights abuses...

Pic: Burberry

Information Technology | On 26th Oct 2020

Burberry launches gaming technology for fashion design

Burberry, and digital production agency, Koffeecup have joined hands...

Interviews View All

Anshul Sood, Oceedee

Anshul Sood
Oceedee

‘Indian footwear market is nascent and largely a trend follower’

Rashi Menda, Zapyle

Rashi Menda
Zapyle

Every fifth sale we make on Zapyle is a repeat purchase

Smita Murarka, Amanté

Smita Murarka
Amanté

‘There is huge demand in the Indian lingerie market for non-wired styles.’

Rushiraj Mulani,

Rushiraj Mulani

The Shradhdha Group of companies was established in 2010 and is based out...

Tolga Ozkurt,

Tolga Ozkurt

Çalik Denim is among the world's top 10 premium denim manufacturers...

Rajesh Vig & Ritu Vig,

Rajesh Vig & Ritu Vig

Rajesh Vig and Ritu Vig, promoters of the kidswear brand Happy Feet,...

Eric Scholler, Groz-Beckert

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Chunyi Zhi, City University of Hong Kong

Chunyi Zhi
City University of Hong Kong

<div><b>Chunyi Zhi</b>, associate professor in the Department of Materials ...

Lynda Kelly, Suominen Corporation

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Madhu Jain, Madhu Jain

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Judy Frater, Somaiya Kala Vidya

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Wendell Rodricks, Wendell Rodricks

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do 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


October 2020

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


Advanced Search