Conn's Posts Increased Sales in Quarter Boosted by Furniture, Mattresses

February 6, 2012  by in UnCategorized   

By Home Furnishings Business in Financial Reports on February 7, 2012 Home furnishings and electronics retailer Conn's, Inc. (NASDAQ: CONN) reported preliminary net sales of $189.5 million for the quarter ended Jan. 31, a 4.2 percent increase compared to $181.9 million posted in the same quarter last year.

Same store sales (sales recorded in stores operated for the entirety of both periods, which excludes nine stores that have been closed, one store in the process of being closed and two stores with leases that expired during fiscal year 2012) increased 12.1 percent for the quarter, compared to the same quarter in the prior fiscal year.

"Despite weakness in the consumer market for televisions, we were pleased to deliver double-digit same store sales growth for the second quarter in a row," said Theodore Wright, CEO. "In addition to the same store sales increase, we also increased our retail segment gross margin percentage by 500 basis points, or 21 percent."

Net sales of furniture and mattresses for the quarter were $27.7 million, a 14.7 percent change from the sales of $20.2 million during the prior year period.

The retailer attributed the growth in furniture and mattress sales to enhanced display and product selection, along with increased promotional activity.

Conn's currently operates 65 retail locations in Texas, Louisiana and Oklahoma: with 22 stores in the Houston area, 15 in the Dallas/Fort Worth Metroplex, seven in San Antonio, three in Austin, five in Southeast Texas, one in Corpus Christi, four in South Texas, six in Louisiana and two in Oklahoma.