Tuesday Morning inching toward 3Q profitability
DALLAS -- Tuesday Morning cut its losses and posted a slight same-store sales increase for its fiscal third quarter, as the company heads toward profitability. The company reported a net loss for the quarter of $3.6 million, or 8 cents per share, compared with a net loss of $4.3 million, or 10 cents per share, for the same period last year.
As previously reported, Tuesday Morning's net sales for the third quarter of fiscal 2011 were $174.3 million compared with $172 million for the quarter ended March 31, an increase of 1.3%. Comparable-store sales increased 0.7% for the third quarter of fiscal 2011 as compared to the same period last year. The increase in comparable-store sales was comprised of a 3.9% increase in average ticket offset by a 3.2% decrease in traffic.
Kathleen Mason, president and CEO, stated, "We achieved increases in total sales and comparable store sales for the third quarter. Our year to date earnings have improved by 16%. Inventory is well positioned by category as we move into the final quarter of our fiscal 2011 year. We continue to generate cash flow, enhance profitability, and maintain our strong balance sheet."
Tuesday Morning operated 840 stores in 41 states as of March 31, 2011. During the third quarter of fiscal 2011, the company opened 11 stores, relocated 11 stores and closed 16 stores.
For the nine months ended March 31, net sales were $626.4 million compared with $627.5 million for the same period last year, a decrease of 0.2%. Comparable-store sales decreased 0.1% for the nine month period ended as compared to the same period last year. The decrease in comparable-store sales was comprised of a 0.4% increase in average ticket offset by a 0.5% decrease in traffic. For the nine months ended March 31, the company had earnings per diluted share of 25 cents versus 22 cents for the same period in fiscal 2010.
During the nine months ended March 31, the company opened 21 stores, closed 33 stores and relocated 26 stores.
Tuesday Morning said that it is maintaining its April 12 revised guidance for the full fiscal year ending on June 30. Net sales are expected to be in the range of $830 million to $836 million. Comparable-store sales are expected to be flat and earnings per diluted share are expected to be in the range of 30 cents to 34 cents compared with 25 cents in the prior fiscal year ended June 30, 2010.