Store closing costs drag down Shoe Carnival
Evansville, Ind. Shoe Carnival said Thursday that it lost $3 million in its fiscal fourth-quarter, compared with a profit of $1 million in the year-ago period. The chain said its results were pulled down by higher store closing costs and increased promotions during the holidays.
Sales fell 5% to $156.9 million from $164.3 million, while same-store sales dropped 8.3%. The results missed Wall Street's estimate of $158.9 million.
For the full fiscal year, net income tumbled 59% to $5.3 million from $12.8 million in the prior year.
Annual revenue dipped 2% to $647.6 million from $658.7 million, while same-store sales declined 4.6%.
The company finished fiscal 2008 with 304 stores, after opening 24 new ones and closing 11. It plans to open about 15 stores in fiscal 2009, with 10 targeted for the first quarter. About 10 stores are expected to close during the year.