Today, Kirkland’s, Inc. announced its financial results for the 13-week and 52-week periods ended January 31, 2009. Comparable store sales for the fourth quarter of fiscal 2008 increased 5.3% compared with a 12.6% sales decrease in the fourth quarter of fiscal 2007. During the 52-week period ended January 31, 2009, comparable store sales in mall stores increased 6.9% while comparable store sales in off-mall stores increased 2.1%.
For the 13-week period ended January 31, 2009, the company reported net income of $15.0 million, or $0.76 per diluted share, compared with net income of $1.5 million, or $0.08 per diluted share, in the 13-week period ended February 2, 2008. For the 52-week period ended January 31, 2009, the company reported net income of $9.3 million, or $0.47 per diluted share, compared with a net loss of $25.9 million, or $1.33 per share, for the 52-week period ended February 2, 2008.
Robert Alderson, Kirkland’s President and Chief Executive Officer, said, “We finished fiscal 2008 on a very strong note with our fourth consecutive quarter of positive comparable store sales, strong year-over-year improvement in merchandise and operating margins, an extraordinary increase in fourth quarter earnings and over $36 million of cash. Our goal for the year was to show improvement in every quarter, and we more than exceeded that target. Inventories remain on-plan and current, and our liquidity position is the strongest it has been in several years. While it is early yet, we are also encouraged by positive sales and margin trends experienced so far in the first quarter of 2009.”
He added, “The decisions many retailers are being forced to make in today’s economy related to paring unproductive stores, renegotiating leases, and cutting overhead costs were already made or underway at Kirkland’s over the last 16 months. With solid momentum and the merchandise reconnection we have made with our core customers, we believe we are in the unique position of pursuing a disciplined strategy with respect to new store openings.”
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