Wilsons The Leather Experts Inc announced results for the quarter ended May 5, 2007. Net sales decreased 22.9% to $57.6 million compared to $74.7 million for the same period last year.
Comparable store sales for the first quarter ended May 5, 2007 decreased 20.8% compared to a decrease of 10.8% in the same period last year.
Wilsons Leather reported a net loss for the 2007 first quarter of $21.3 million, or $0.54 per basic and diluted share. This compares to a net loss for the 2006 first quarter of $6.5 million, or $0.17 per basic and diluted share.
Michael Searles, Chairman and Chief Executive Officer, commented, “Our results for the quarter are where we expected them to be, however, not where we would like them to be. It is clear from our transaction volume, which is down significantly to last year, the “price only customer” has opted out."
While we do not have the technology to measure conversion rates in all stores, we do know that the customers who are coming in to most stores are spending more than they did last year.
"Dollars per transaction are up 16.0% year-over-year. We just do not have enough new customers to offset the ones who have left us. It is clear that attracting new customers needs to be our key focus as we move into fall.”
Wilsons The Leather Experts Inc
marketing@alchempro.com
