Cost Plus Loses $7 Million in 2Q

August 19, 2010  by in UnCategorized   

By Home Furnishings Business in Financial Reports on August 20, 2010 Cost Plus, Inc. (NASDAQ: CPWM) reported a net loss of $7 million for the second quarter ended July 31, compared to a net loss of $21 million during the same quarter last year.

Net sales for the second quarter were $192.4 million, a 4.9 percent increase from $183.4 million for the same quarter last year. Same store sales for the quarter increased 6.5 percent compared to a decrease of 10.9 percent last year.

"We are pleased with our second quarter results and the continued momentum in the business," said Barry Feld, president and chief executive officer. "Our layered multi-media marketing campaigns designed to reconnect with our loyal customer base, combined with our customer acquisition efforts and World Market Explorer loyalty program, delivered the necessary increases in traffic to recover the top line."

Looking forward to the third quarter, the company expects net sales in the range of $187 million to $190 million, based on a same-store sales increased in the range of 5 percent to 7 percent. The retailer is projecting a loss from continuing operations before interest and taxes in the range of $7 million to $9 million compared to a loss of $19 million for the third quarter of 2009.

The company operates 263 stores in 30 states and maintains an e-commerce Web site.

The entire earnings release can be read here.