Duckwall-ALCO Reports 3Q Loss
Abilene, Kan. Duckwall-ALCO Stores reported that net loss for its third quarter was $1.7 million, which is in line with the net loss of $1.6 million from its third quarter of the prior fiscal year.
Net sales from continuing operations for the third quarter increased 4.7% to $115.5 million, while same-store sales decreased 6.3%. The results were affected by a difficult retail environment, offset by progress in cost reductions and operational improvements by the company.
Gross margin for the third quarter was 32.2%, down from 32.5% in the third quarter of the prior year. The report also said that contributing to the decline were increased markdowns, increased freight costs, lower rebates and new store allowances, offset by continued reduction in shrink and reduced “last in, first out” (LIFO) expense, which is a cost-flow assumption used to value inventories.