Nation's largest catalog merchant JC Penney Company Inc's total department store sales were flat with last year for the five weeks ended April 1, 2006. Comparable department store sales decreased 1.0 percent compared to a 0.4 percent decline in last year's March period.
Sales were below initial guidance for a low single digit comparable store increase, reflecting a later Easter spending pattern than originally anticipated, due to the three-week shift of the Easter holiday into mid-April 2006.
The western region of the country continues to generate the strongest sales results, with the best divisional performance coming from home, family shoes and fine jewelry.
Direct sales increased 5.0 percent during the period, surpassing initial guidance for a low single digit increase. Sales results reflect improved performance in both print media and Internet. The sales increase compares to flat sales in the March period last year.
Internet sales through jcp.com continue to represent the Company's fastest growing sales channel, increasing about 25.0 percent in March.
April Sales Guidance and First Quarter Earnings For the month of April, the Company expects comparable department store sales to increase low single digits and Direct sales to be flat to up slightly. In last year's April period, comparable department store and Direct sales increased 3.5 percent and 12.5 percent, respectively.
The Company continues to be comfortable with its initial guidance for first quarter earnings from continuing operations to be in the area of $0.80 per share, based on results through the nine weeks ended April 1, 2006
marketing@alchempro.com
