Talbots 1Q income down
HINGHAM, Mass. On a reported (GAAP) basis, Talbots reported first quarter net income of $1.6 million or 3 cents per share share, compared to reported net income of $5.2 million or 10 cents per share for the same period last year.
Total consolidated company sales for the quarter were $542 million. By brand, retail store sales were $363 million for Talbots compared to $387 million last year, and $71 million for J. Jill compared to $81 million last year.
Total company comparable-store sales declined 9.8% for the thirteen-week period. By brand, comparable store sales for Talbots and J. Jill decreased 7.4% and 20.2% respectively.
The company is maintaining its previously announced guidance for fiscal 2008 earnings from ongoing core operations, excluding Talbots Kids, Mens and U.K. operating results and close down costs, to be in the range of 47 cents to 52 cents per diluted share. The company is planning for a loss from its non core operations in the range of 64 cents to 59 cents per share, for a total loss per share in the range of 17 cents to 7 cents, compared to the $3.56 loss per share reported in fiscal 2007.
OfficeMax 1Q sales fall on weak economy
NAPERVILLE, Ill. OfficeMax announced that for its first quarter ended March 29, total sales decreased 5.5% to $2.3 billion compared to the first quarter of 2007. Net income increased in the first quarter of 2008 to $63.3 million, or 81 cents per diluted share, from $58.5 million, or 76 cents per diluted share, in the first quarter of 2007.
OfficeMax Retail segment sales decreased 5.5% to $1.11 billion in the first quarter of 2008 compared to the first quarter of 2007, reflecting a same-store sales decrease of 8.7% partially offset by sales from new stores. Retail same-store sales for the first quarter of 2008 declined across all major product categories due to weaker U.S. consumer and small business spending and the negative impact of the Easter holiday occurring in the first quarter of 2008.
IKEA to open first U.S. manufacturing facility
DANVILLE, Va. IKEA, through its subsidiary Swedwood, announced that it will open its first U.S. furniture manufacturing facility on May 21 in Danville, Va. The 930,000 square-foot Swedwood factory will produce a variety of wood-based IKEA products, the company reported.
“We made excellent progress on construction last year and our installation of equipment and machinery has gone very smoothly,” said Bengt Danielsson, North American president of Swedwood. “Now our primary objective is to complete appropriate operational training for 175 coworkers as well as to ensure a seamless production and packaging process.”