Foothill Ranch, Calif. -- The Wet Seal reported Thursday that net income for the fourth quarter dropped to $1.1 million from $5.3 million a year earlier. Sales in the quarter followed the same downward trend, as net sales fell to $163.2 million from $165.5 million, and same-store sales declined 5.5%.
CEO Susan McGalla told investors that the teen retailer is focused on making progress on strategic initiatives: “including establishing more cohesive merchandise assortments and consistent brand messaging, and a heightened focus on customer obsession, which we believe will better position the company for long-term sales and profitability growth," said McGalla.
For the full year, net sales rose to $620.1 million from $581.2 million in 2010, and same-store sales edged up 1.2%. Profit also increased year-over-year to $15.1 million from $12.6 million.
In 2012, Wet Seal said it plans 25 to 30 net store openings at Wet Seal and no net store openings at Arden B.