Cato Q1 profit edges up 4%, raises outlook
Charlotte, N.C. — Women’s apparel retailer Cato Corp. said Thursday that first-quarter profit rose 4% to $31.7 million, from $30.5 million last year, prompting the company to raise its full-year profit forecast.
Sales inched up 1% to $275.3 million, but same-store sales dipped 2% among its Cato, Cato Fashions, Cato Plus, It’s Fashion, It’s Fashion Metro and Versona Accessories banners.
“Although the level of sales by month varied due to unexpected circumstances including early warm weather and the delay of tax refunds, first quarter sales overall were within our expectations and reflect the continuing difficult economic environment for our customers,” said John Cato, president and CEO.
Stein Mart profit dips in Q1
Jacksonville, Fla. — Stein Mart said Thursday that net income for the quarter ended April 28 slid 26% to $11.8 million, compared with $15.9 million in the same period last year.
Revenue was basically flat at $303.4 million, missing Wall Street’s expected $303.9 million in revenue, and same-store sales dipped 0.4%.
The company said it expects to open four new stores, relocate four stores and close four stores during the second half of 2012.
Taubman to launch construction of Mall of San Juan, marking Nordstrom and Saks debuts
Bloomfield Hills, Mich. — Taubman Centers said Thursday that it will begin construction this summer on its 640,000-sq.-ft. Mall of San Juan, in San Juan, Puerto Rico.
Formerly known as Plaza Internacional, The Mall of San Juan will be a state-of-the-art, two-level, enclosed mall anchored by a 138,000-sq.-ft. Nordstrom and a 100,000-sq.-ft. Saks Fifth Avenue. It will be the first upscale mall on the island and the first and only location in Puerto Rico for both Nordstrom and Saks.
Taubman said the project is anticipated to include a Crowne Plaza hotel and casino, developed by the current land owner, New Century Development.
The $405 million shopping center will include more than 100 specialty stores and restaurants, approximately 60% of which are expected to be new to the island.