Hot Topic Inc announced that the company incurred a net loss in the fiscal second quarter of 2007 (13 weeks ended August 4, 2007) of $1.7 million, or $0.04 per share, compared with a net loss of $0.9 million, or $0.02 per share, in the fiscal second quarter of 2006 (13 weeks ended July 29, 2006).
As previously reported, total sales for the 13 weeks ended August 4, 2007 increased 1% to $161.7 million compared to $160.3 million for the 13 week period ended July 29, 2006.
Comparable store sales declined 5.8% for the second quarter of 2007. Due to a 53rd week in fiscal 2006, second quarter comparable store sales are compared to the corresponding 13 week period ended August 5, 2006.
At the end of second quarter fiscal 2007, the company operated 693 Hot Topic stores and 133 Torrid stores compared to 682 Hot Topic stores and 127 Torrid stores at the end of second quarter fiscal 2006.
During second quarter fiscal 2007, the company opened a total of two Hot Topic stores and four Torrid stores and closed four Hot Topic stores and two Torrid stores.
The company also remodeled or relocated 27 Hot Topic stores during the quarter, bringing the total number of remodeled or relocated stores during the year-to-date period to 44.
The company issued third quarter (13 weeks ending November 3, 2007) guidance of earnings in the range of $0.13 to $0.16 per diluted share based upon a comparable store sales decline of low-single digits.
The company also issued fourth quarter (13 weeks ending February 2, 2008) guidance of earnings in the range of $0.29 to $0.33 per diluted share based upon a comparable store sales decline of low-single digits.
A conference call to discuss second quarter, business trends, guidance and other matters is scheduled for at 4:30 PM (ET).
marketing@alchempro.com
