Christopher & Banks Corporation (NYSE:CBK), a specialty women’s apparel retailer, today announced preliminary results for its third quarter ended October 29, 2016.
For the third quarter, the Company currently expects:
|•||Net sales of approximately $106.2 million while operating on average 506 stores as compared to last year’s third quarter net sales of $103.6 million, while operating on average 533 stores;|
|•||Comparable sales to increase 4.5% compared to a 6.7% decrease in last year’s third quarter;|
|•||Gross margin to be at the high end or above its guidance of 35% to 36%, as compared to 35.8% in last year’s third quarter;|
|•||SG&A to be at or below the low end of its guidance which was $33.0 million as compared to $33.6 million in last year’s third quarter;|
|•||Inventory on-hand at the end of the quarter to be 3% to 4% below last year’s third quarter; and|
|•||Cash and cash equivalents at the end of the quarter to be between $25 million and $26 million.|
LuAnn Via, President and Chief Executive Officer, stated, “Overall, we are very pleased with our performance during the third quarter as our customers responded favorably to our merchandise assortment and our marketing efforts. Our initiatives are beginning to take hold as we were able to drive positive comparable sales in all three months while maintaining gross margin, despite a continuation of negative mall traffic trends, a highly promotional environment and unseasonably warm weather. I am proud of our team for executing well in a difficult retail environment. We look forward, during our upcoming earnings call, to discussing our third quarter results in more detail in addition to providing an update on our initiatives to return to long-term growth and profitability while reducing expenses and improving operational efficiencies.”
Conference Call Information
The Company’s third quarter 2016 earnings release and conference call is currently scheduled for the morning of Thursday, December 1, 2016. On the conference call, the Company expects to provide further commentary on its third quarter results and its expectations for the remainder of the fiscal year. Further details regarding the earnings conference call are expected to be announced on or about November 17, 2016.
About Christopher & Banks
Christopher & Banks Corporation is a Minneapolis-based national specialty retailer featuring exclusively designed privately branded women’s apparel and accessories. As of November 3, 2016, the Company operates 504 stores in 43 states consisting of 314 MPW stores, 82 Outlet stores, 55 Christopher & Banks stores, and 53 stores in its women’s plus size clothing division CJ Banks. The Company also operates the www.ChristopherandBanks.com eCommerce website.