Toys'R'Us plays down poor 1Q comps performance
WAYNE, N.J. — Toys“R”Us reported that domestic comparable-store sales were down 2.1% for its fiscal first quarter. Total sales were up 1.1% tp $2.6 billion.
According to the company, sales were strongest in the learning and core toy categories, while the entertainment and seasonal categories struggled.
Jerry Storch, chairman and CEO of Toys“R”Us, stated, “In the first quarter, we made important investments, including preparations to open a new west coast distribution center to support the continued strong growth of our e-commerce operations, the additional conversions of our stores to an integrated format offering both toy and juvenile products, and the implementation of other key strategic initiatives. Planned increases associated with investments made during this smaller, off-peak quarter for our business will position the company well for the balance of the year and for the future. At the same time, the team focused on product differentiation and margin improvement, delivering strong gross margin growth.” Storch added, “As we continue to look for ways to improve the customer shopping experience, we are committed to strengthening our multichannel capabilities, allowing consumers to shop with us anytime from anywhere.”