HAMPSTEAD, Md. (AP) — Cool weather and lower selling prices stung JoS. A. Bank Clothiers Inc. in its fiscal first-quarter, with net income dropping 45 percent. But the performance matched Wall Street's view.
President and CEO R. Neal Black said in a statement on Wednesday that the chain dealt with increased inventory sourcing costs and lower selling prices in the quarter, primarily because more of its sales were for winter and clearance items.
The men's clothing and accessories company earned $8.1 million, or 29 cents per share, for the three months ended May 4. That's down from $14.8 million, or 53 cents per share, a year earlier.
This met the expectations of analysts surveyed by FactSet.
Revenue for the Hampstead, Md.-based company fell 3 percent to $196.1 million from $201.4 million.
Revenue at stores open at least a year declined 8.5 percent. This metric is a key indicator of a retailer's health because it excludes results from stores recently opened or closed.
One bright spot was direct marketing sales. These results, which include online sales, climbed 12.6 percent in the quarter.
Still, Black cautioned that sales softness is continuing, with sales down in fiscal May.
JoS. A. Bank has 606 stores in 44 states and the District of Columbia.
Its shares finished at $44.70 on Tuesday. They have traded in a 52-week range of $37.31 to $50.75.