"As we begin the third quarter, we remain encouraged by our apparel results, and expect our accessory business to improve later this year," Mr. Crystal continued. "Our inventory is well controlled with average inventory on a comparable per store basis at the end of the second quarter expected to be slightly lower than last year."
The Company opened 14 new stores and closed three stores during the quarter, ending the quarter with 580 stores and 3.4 million selling square feet in operation.
Guidance:
The Company noted that it currently estimates second quarter of fiscal 2007 diluted earnings per share of approximately $0.05, primarily as a result of the decline in gross margin. This includes an estimated loss of $0.03 in the JasmineSola business.
This compares to its previous second quarter diluted earnings per share guidance range of $0.11 to $0.14 and versus actual second quarter fiscal 2006 diluted earnings per share of $0.11. The Company will issue final actual second quarter results on August 23, 2007.
The Company plans to issue guidance for the third quarter of fiscal 2007 and update its previously issued guidance for full fiscal year 2007 on August 23, 2007, when it reports actual results for the second quarter.
marketing@alchempro.com
