Sat, Aug 23, 2014, 1:06 AM EDT - U.S. Markets closed

Recent

% | $
Quotes you view appear here for quick access.

ANN INC. Message Board

  • bluecheese4u bluecheese4u Nov 20, 2009 8:15 AM Flag

    Ann Taylor Reports Third Quarter 2009 Results

    Ann Taylor Reports Third Quarter 2009 Results
    Better Product, Strong Gross Margin and Cost Savings Contribute to Higher Earnings
    NEW YORK, Nov. 20 /PRNewswire-FirstCall/ -- Ann Taylor Stores Corporation (NYSE: ANN) today reported results for the third quarter of fiscal 2009, ended October 31, 2009.


    For the quarter, the Company reported earnings per diluted share of $0.20 excluding after-tax restructuring and asset impairment charges of $0.17 per diluted share, compared with earnings per diluted share of $0.03 in the third quarter of 2008, excluding after-tax restructuring and asset impairment charges totaling $0.27 per diluted share. On a GAAP basis, including the aforementioned restructuring and impairment charges, earnings per diluted share was $0.03 in the third quarter of 2009, compared with a loss per diluted share of $0.24 in the third quarter of 2008.


    Kay Krill, President and Chief Executive Officer, commented, "Our results for the quarter were a direct result of our strategy to maximize gross margin performance by tightly managing inventories, focusing on full-price selling and controlling costs. I am pleased that our performance also reflects the cumulative benefits of our ongoing restructuring program initiatives. Today, we are a more efficient and effective Company. Our emphasis going forward is to continue the repositioning of the Ann Taylor division and to ensure that LOFT further strengthens its positioning as the destination for casual, feminine and stylish product at great value.


    "We have made significant progress on enhancing and differentiating our brands and providing our clients with style, quality and value. LOFT's product offering resonated with our clients, with casual apparel performing particularly well. I am pleased with the response to our newer categories, which expand the LOFT brand to better serve our clients' lifestyle needs. At Ann Taylor, the launch of the new Fall collection was an important first step in our multi-season strategy to reposition the brand. The initial client response has been encouraging, and we look forward to further progress as we continue to test, learn from and refine the assortment. Looking ahead, we expect to build on the product successes we've achieved to date and move forward on our objective of building sales momentum and profitable growth."


    Fiscal 2009 Third Quarter Results


    Net sales for the third quarter of fiscal 2009 were $462.4 million, compared with net sales of $527.2 million in the third quarter of fiscal 2008. By division, net sales at Ann Taylor were $112.3 million in the third quarter of 2009, compared with net sales of $159.5 million in the third quarter of 2008. At LOFT, net sales were $234.0 million in the third quarter of 2009, compared with net sales of $263.0 million in the third quarter of 2008.


    Comparable store sales for the quarter declined 13.7% versus the prior year. At Ann Taylor, comparable store sales declined 25.8% and at LOFT, comparable stores sales declined 9.7%.


    Gross margin, as a percentage of sales, was 57.3%, 850 basis points higher than the gross margin rate achieved in the third quarter of 2008. This strong gross margin performance reflected the success of the Company's strategy to conservatively position inventory levels across both divisions as well as a lower level of promotional activity in the quarter.


    Selling, general and administrative expenses for the third quarter of 2009 declined by approximately $8.6 million, or 3.4% versus year-ago, to $246.2 million, relative to a 2.5% decline in weighted average square footage for the quarter. This decline in expenses reflected restructuring program savings, as well as continued aggressive management of expenses, partially offset by an increase in performance-based compensation versus the 2008 period.





    http://investor.anntaylor.com/phoenix.zhtml?c=78167&p=irol-newsArticle&ID=1357778&highlight=

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • part two

      During the quarter, the Company recorded a pre-tax restructuring charge of $0.6 million associated with its previously announced strategic restructuring program, compared with pre-tax restructuring charges totaling $19.9 million in the third quarter of 2008. On an after-tax basis, third quarter 2009 restructuring charges totaled $0.4 million, or $0.01 per diluted share, compared with total restructuring charges of $13.2 million, or $0.24 per diluted share, in the third quarter of 2008.


      The Company also recorded pre-tax non-cash asset impairment charges totaling $15.3 million related to stores not included in the Company's restructuring program, compared with pre-tax non-cash asset impairment charges totaling $2.7 million in the third quarter of 2008. On an after-tax basis, third quarter 2009 asset impairment charges totaled $10.2 million, or $0.16 per diluted share, compared with after-tax asset impairment charges of $1.8 million, or $0.03 per diluted share, in the third quarter of 2008.


      Excluding restructuring and asset impairment charges, the Company reported operating income of $18.7 million for the quarter, compared with operating income of $2.4 million in the third quarter of 2008. On the same basis, the Company reported net income in the quarter of $12.0 million, or $0.20 per diluted share, compared with net income of $1.6 million, or $0.03 per diluted share in the third quarter of 2008. The tax rate used to calculate non-GAAP after-tax restructuring and asset impairment charges and non-GAAP net income for the third quarter of 2009 was adjusted to remove the cumulative impact of an updated full year estimated effective tax rate, and therefore reflects the expected rate for the period.


      On a GAAP basis, the Company reported operating income of $2.7 million in the third quarter of 2009, compared with an operating loss of $20.2 million in the third quarter of 2008. On the same basis, the Company reported net income of $2.1 million, or $0.03 per diluted share, in the third quarter of 2009, compared with a net loss of $13.4 million, or $0.24 per diluted share, in the third quarter of 2008.


      During the third quarter of 2009, the Company opened one LOFT store and closed one Ann Taylor store and one LOFT store. In addition, we converted one Ann Taylor store to LOFT. The total store count at the end of the third quarter was 932, comprised of 313 Ann Taylor stores, 509 LOFT stores, 92 Ann Taylor Factory stores and 18 LOFT Outlet stores.


      Balance Sheet Highlights


      During the quarter, the Company paid down the balance of outstanding borrowings on its revolving credit facility, totaling $75 million. Following the debt pay down, the Company ended the third quarter with $134 million in cash and cash equivalents.


      Total inventory per square foot at the end of the third quarter of 2009 was down 20.7% versus year-ago, primarily reflecting total inventory declines of 19.4% and 17.0% per square foot at the LOFT and Ann Taylor divisions, respectively.

 
ANN
37.52-1.29(-3.32%)Aug 22 4:05 PMEDT

Trending Tickers

i
Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.
Keurig Green Mountain, Inc.
NasdaqGSFri, Aug 22, 2014 4:00 PM EDT
Salesforce.com, Inc
NYSEFri, Aug 22, 2014 4:00 PM EDT