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WOOLWORTH NET UP 59 PERCENT IN 1992 THIRD QUARTER

 WOOLWORTH NET UP 59 PERCENT IN 1992 THIRD QUARTER
 NEW YORK, Nov. 4 /PRNewswire/ -- Net income of Woolworth Corporation


(NYSE: Z) rose 59 percent to $65 million, or 50 cents per share, in the third quarter ended Oct. 24, 1992, from $41 million, or 31 cents per share, in the corresponding year-earlier quarter, Harold E. Sells, chairman and chief executive officer, reported today.
 For the thirty-nine weeks ended Oct. 24, 1992, net income rose to $115 million, or 88 cents per share, from a net loss of $38 million, or 30 cents per share, in the comparable 1991 period. The prior-year net loss included a one-time, after-tax charge of $113 million, or 87 cents per share, due to a change in accounting for postretirement benefits other than pensions.
 Revenues
 Revenues for the thirteen weeks ended Oct. 24, 1992, rose 3.2 percent to $2,501 million from $2,423 million in the comparable 1991 period. Specialty store revenues rose 4.4 percent and general merchandise revenues rose 2.2 percent.
 Although the company operated, on average, 8 percent fewer stores in the United States during the third quarter of 1992 compared to the third quarter of 1991, domestic revenues were essentially flat. The decline in stores is attributable to the accelerated store-redeployment program announced in January 1992. On a comparable-store basis, domestic revenues rose 2.4 percent.
 Foreign revenues, expressed in U.S. dollars, rose 7.5 percent. If foreign revenues had been translated into U.S. dollars at year-earlier foreign exchange rates, foreign revenues would have increased 4.6 percent for the thirteen weeks ended Oct. 24, 1992.
 For the thirty-nine weeks ended Oct. 24, 1992, revenues rose to $6,827 million from $6,778 million in the corresponding period of 1991. Specialty store revenues rose 2.4 percent while general merchandise revenues declined one percent. Domestic revenues declined 1.5 percent due to the net decline in stores as a result of the accelerated store- redeployment program. Domestic comparable store revenues, however, rose 1.9 percent.
 Foreign revenues, expressed in U.S. dollars, rose 3.8 percent. Changes in foreign currency translation rates did not have a material effect on year-to-year total revenue comparisons for the thirty-nine weeks ended Oct. 24, 1992.
 Operating Results
 Operating profit (income before corporate expense, interest, and income taxes) for the thirteen weeks ended Oct. 24, 1992, rose 41 percent to $141 million from $100 million in the comparable 1991 period. Specialty store operating profit rose to $115 million from $81 million, and general merchandise operating profit rose to $26 million from $19 million. Domestic operating profit rose to $113 million from $76 million and foreign operating profit rose to $28 million from $24 million.
 For the thirty-nine weeks ended Oct. 24, 1992, operating profit rose 33 percent to $288 million from $216 million in the comparable period of 1991. Specialty store operating profit increased to $228 million from $146 million and general merchandise operating profit fell to $60 million from $70 million. Domestic operating profit for the thirty-nine-week period rose to $228 million from $168 million and foreign operating profit rose to $60 million from $48 million.
 Changes in foreign currency translation rates did not have a significant effect on year-to-year total operating-profit comparisons for the thirteen- or the thirty-nine-week periods ended Oct. 24, 1992.
 As of Oct. 24, 1992, the company operated a total of 8,892 stores, consisting of 7,284 specialty stores and 1,608 general merchandise stores. This is a decrease of 275 stores from the 9,167 stores operated as of Oct. 26, 1991.
 Financial Position
 Merchandise inventories at Oct. 24, 1992, were marginally lower than prior-year levels. Shareholders' equity at Oct. 24, 1992, declined $146 million from the level at Oct. 26, 1991, reflecting, in part, the 1991 fourth quarter loss of $128 million which included a $250 million charge due to the accelerated store-redeployment program.
 Recent Results and Outlook
 Mr. Sells stated, "We are encouraged that the rate of increase in sales and profits in the third quarter was greater than that of the first half. We are also pleased with the progress of our store- redeployment program. Through Oct. 24, 1992, we have opened 175 stores, and are planning to open an additional 125 stores by early December, in space formerly occupied by stores included in the redeployment program. These new stores are concentrated in our most-productive formats, including Northern Reflections, Champs Sports, Foot Locker, Lady Foot Locker, and Afterthoughts. We are confident that the addition of these stores will mean further improvements in sales and profits throughout the all-important fourth quarter."
 WOOLWORTH CORPORATION
 Consolidated Statement of Income
 (Unaudited, in millions, except per-share amounts)
 Periods ended Thirteen weeks Thirty-nine weeks
 Oct. 24, Oct. 26, Oct. 24, Oct. 26,
 1992 1991 1992 1991
 Revenues $2,501 $2,423 $6,827 $6,778
 Costs and expenses
 Costs of sales 1,644 1,625 4,521 4,555
 Selling, general and
 administrative expenses 664 641 1,864 1,848
 Depreciation and
 amortization 65 65 189 189
 Interest expense 25 27 71 67
 Total 2,398 2,358 6,645 6,659
 Income before income taxes
 and cumulative effect of
 accounting change 103 65 182 119
 Income taxes 38 24 67 44
 Income before cumulative
 effect of accounting change 65 41 115 75
 Cumulative effect of change
 in method of accounting for
 postretirement benefits other
 than pensions (113)
 Net income (loss) $ 65 $ 41 $ 115 $ (38)
 Amounts per common share
 Net income before
 cumulative effect of
 accounting change $ .50 $ .31 $ .88 $ .57
 Cumulative effect of
 change in method of
 accounting for post-
 retirement benefits other
 than pensions (.87)
 Net income (loss) $ .50 $ .31 $ . 88 $ (.30)
 Dividends declared $ .28 $ .27 $ .84 $ .81
 Weighted-average number
 of common shares
 outstanding 130.7 130.1 130.7 130.1
 WOOLWORTH CORPORATION
 Consolidated Condensed Balance Sheet
 (Unaudited, in millions)
 Oct. 24, Oct. 26(A)
 1992 1991
 ASSETS
 Current Assets
 Cash, and cash equivalents
 at cost of $1 and $4 $ 118 $ 68
 Merchandise inventories 3,024 3,064
 Other current assets 366 196
 Total 3,508 3,328
 Owned and leased property and equipment, net 1,657 1,674
 Deferred charges and other assets 429 354
 Total $5,594 $5,356
 LIABILITIES AND SHAREHOLDERS' EQUITY
 Current Liabilities
 Short-term borrowings $1,402 $1,434
 Accounts payable and accrued liabilities 1,154 1,033
 Current portion of long-term debt and
 obligations under capital leases 56 29
 Total 2,612 2,496
 Long-term debt and obligations under
 capital leases 361 242
 Deferred taxes and other liabilities 582 433
 Shareholders' Equity:
 Preferred stock 1 1
 Common stock and paid-in capital 258 249
 Retained earnings 1,627 1,786
 Foreign currency translation adjustment 155 151
 Total 2,041 2,187
 Less treasury stock, at cost (2) (2)
 Total shareholders' equity 2,039 2,185
 Total $5,594 $5,356
 (A) -- Certain amounts have been restated to reflect the change in method of accounting for postretirement benefits other than pensions.
 -0- 11/4/92
 /CONTACT: Frances E. Trachter of Woolworth Corporation, 212-553-2394/
 (Z) CO: Woolworth Corporation ST: New York IN: REA SU: ERN


TS -- NY014 -- 2346 11/04/92 09:37 EST
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Date:Nov 4, 1992
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