Saks Reports Second Quarter Loss of $32.2 Million
The results for the second quarter of 2010 include after-tax charges of $11.7 million, or 8 cents per share, related to net lease termination costs and $1.1 million of severance and other store closing costs.
The company announced today that it is closing its Saks Fifth Avenue stores in Plano, Texas and Mission Vieja, California. Both stores will close this year. The company also shut stores in Portland, Oregon; San Diego, California and Charleston, South Carolina in July.
Without these after-tax charges, Saks would have recorded a net loss of $20.5 million, or 13 cents per share, for the second quarter.
"I am pleased with the meaningful improvement in our operating performance for the second quarter and six months ended July 31, 2010 (excluding the previously mentioned store closing costs)," CEO Stephen Sadove said in a statement.
Total sales for the quarter were $593.1 million, up from $564.5 million in the second quarter of 2009.
Comparable store sales rose 4.6% in the second quarter, and Saks forecast that comparable store sales will rise in the "mid-single digit range" for the full fiscal year.