FAY'S REPORTS THIRD QUARTER RESULTS
FAY'S REPORTS THIRD QUARTER RESULTS LIVERPOOL, N.Y., Nov. 14 /PRNewswire/ -- Fay's Incorporated
(NYSE: FAY) reported that net earnings for the third quarter ended Oct. 26, 1991 were $1,057,000 or $.07 per share. This compares to net earnings in the third quarter of last year of $1,908,000 or $.12 per share, after giving effect to an extraordinary charge of $664,000 or $.05 per share relating to the redemption of the company's 13-3/4 percent subordinated debentures.
Revenues for the third quarter increased 27.7 percent to a record $212.6 million from $166.4 million a year earlier. Sales during the quarter from comparable stores (those open one year or more as of Oct. 26, 1991) increased 3.5 percent. The company was operating 240 stores at the end of last year's third quarter, as compared to 307 stores at the end of this year's third quarter, including 43 former Carls Drug Stores acquired on April 29 of this year. Fay's earnings for the first three quarters of the year were $4,141,000 or $.26 per share. This compares to $6,063,000 or $.39 per share earned in the first nine months of last year, after giving effect to extraordinary charges of $1,238,000 or $.08 per share. Revenues for the first three quarters increased 23.9 percent to $597.2 million from $482 million a year earlier. For the first three quarters of the year, revenues from comparable stores increased 5.3 percent. Henry A. Panasci, Jr., chairman of the board of Fay's, stated, "Although our third quarter results were extremely disappointing, pharmacy and traditional drug store merchandise sales held up very well. However, sales of seasonal and general merchandise did not meet projections in both our Drug Store and Paper Cutter divisions, reflecting recessionary pressures in our geographical operating areas. Execution of our marketing plan and cost containment efforts will be of prime importance in reaching our fourth quarter goals." At the end of the third quarter, Fay's was operating 250 drug stores, 28 Wheels Discount Supply Stores and 29 Paper Cutter Stores in the states of New York, Pennsylvania, New Jersey, Vermont and New Hampshire. FAY'S INCORPORATED (Unaudited) Thirteen Weeks Thirteen Weeks Ended Ended October 26, 1991 October 27, 1990 Revenues $212,610,000 $166,430,000 Earnings Before Taxes 1,784,000 4,244,000 Earnings Before Extraordinary Charge 1,057,000 2,572,000 Extraordinary Charge - Early Extinguishment of Debt 0 (664,000) Net Earnings 1,057,000 1,908,000 Earnings Per Share: Earnings Before Extraordinary Charge $.07 $.17 Extraordinary Charge 0 (.05) Net Earnings .07 .12 Average Shares Outstanding 15,850,587 15,408,566 Stores in Operation at End of Period 307 240 Thirty-Nine Weeks Thirty-Nine Weeks Ended Ended October 26, 1991 October 27, 1990 Revenues $597,178,000 $481,968,000 Earnings Before Taxes 6,994,000 12,047,000 Earnings Before Extraordinary Charge 4,141,000 7,301,000 Extraordinary Charge - Early Extinguishment of Debt 0 (1,238,000) Net Earnings 4,141,000 6,063,000 Earnings Per Share: Earnings Before Extraordinary Charge $.26 $.47 Extraordinary Charge 0 ($.08) Net Earnings $.26 $.39 Average Shares Outstanding 15,818,751 15,418,353 Stores in Operation at End of Period 307 240 -0- 11/14/91 /CONTACT: Henry A. Panasci Jr., chairman of the board of Fay's Incorporated, 315-451-8000/ (FAY) CO: Fay's Incorporated ST: New York IN: REA SU: ERN KK -- CL014 -- 4480 11/14/91 13:27 EST
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|Date:||Nov 14, 1991|
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