Zale swings to profit in Q3; names former CEO of Signet as chairman
Dallas — Zale Corp. on Wednesday reported net income of $5.1 million for the third quarter, compared with a loss of $4.5 million in the year-ago period. The company also named Terry Burman as a director and as chairman of the board. Burman is the former CEO of Signet Jewelers Ltd., parent of Zale’s biggest rival, Kay Jewelers.
John Lowe Jr., Zales’ chairman for the past five years, will remain on the board.
Revenue for the third quarter, ended April 30, came in at $442.7 million, topping the Street estimates of $440 million.
Same-store sales increased 1.4%, with a 3% rise at Zales Jewelers and Zales Outlet stores. It was the company's tenth straight quarter of same-store sales gains.
“We delivered strong results in March and April after a slow start to the quarter in February, which resulted in our tenth consecutive quarter of positive comps,” commented Theo Killion, CEO.