Mall-based specialty retailer Finish Line Inc announced revised sales and earnings guidance for its first quarter ending May 27th 2006 ('Q1') and the year ended March 3rd 2007 ('Fiscal 07').
The company stated that it expects to report consolidated net sales for Q1 in the range of $285 million to $290 million, compared to $291.3 million reported for the first quarter ended May 28th 2005 ('Q1LY').
The company expects comparable store sales results for Q1 to be in the range of -7 percent to -9 percent (negative 7 percent to negative 9 percent). This compares to previous guidance for Q1 of $312 million in consolidated net sales and comparable store sales of -1 percent to -3 percent (negative one percent to negative three percent).
The company is revising Q1 earnings guidance due to the decrease in sales, as well as negative leverage on occupancy costs and selling, general and administrative expenses. The company's new guidance for Q1 diluted earnings per share is a range of $.08 to $.10 compared to previous guidance of $.18 to $.20 per diluted share.
Alan Cohen, Chairman and CEO stated, "For the quarter we have experienced significant weakness in women's performance running and our kids' footwear departments with both down double digits on a comparable store basis. Comparable sales for the quarter decreased 8% in March followed by a 6% decrease in April. May comparable sales are expected to decline 9-11%. Softgood comparable sales for the quarter are expected to decline low single digits.
marketing@alchempro.com
