SPIEGEL REPORTS FIRST QUARTER RESULTS
SPIEGEL REPORTS FIRST QUARTER RESULTS OAK BROOK, Ill., April 23 /PRNewswire/ -- Spiegel, Inc.
(NASDAQ-NMS: SPGLA) today announced net earnings in the first quarter of $1.0 million, or $0.02 per share, unchanged from the prior year's first quarter. For the first quarter ended March 31, 1992, total revenues were $426.1 million compared to $447.7 million in the same 1991 period.
In announcing the quarterly results, John J. Shea, Spiegel vice chairman, president and CEO, said: "Our first quarter performance is very encouraging. Despite the fact that the Easter holiday fell in April this year, we were pleased with March sales results. The first quarter revenue decline was due to the impact on net sales of the Honeybee retail store closings and a significant reduction of sales events used in 1991 to adjust inventory levels." Gross profit margins on net sales rose to 28.8 percent from 28.1 percent in 1991's first quarter. Inventories were well positioned throughout the first quarter, resulting in lower sales volume at promotional prices. Selling, general and administrative expenses decreased 3.9 percent in the quarter, reflecting the success of our continuing cost containment efforts. "Although we expect the retail environment to remain extremely challenging - we're starting to see some positive indicators," said Shea. "New catalog customer acquisitions are ahead of last year, charge-offs and delinquencies are trending down and the Eddie Bauer retail division is experiencing favorable response to their merchandise display enhancement program. As we continue to deliver value and fashion to our customers, we expect to see continued progress moving into the summer months," concluded Shea. Spiegel, Inc. is the dominant multi-channel specialty retailer marketing fashionable apparel and home furnishings to discerning customers through catalogs and over 250 specialty retail stores. Spiegel's businesses include Eddie Bauer, Crayola Kids and For You from Spiegel. SPIEGEL, INC. FINANCIAL HIGHLIGHTS (in thousands, except per share amounts) Three Months Ended March 31: 1992 1991 Net sales and 49,290 48,938 Other revenue 12,573 19,080 426,077 447,684 Cost of sales and operating expenses: Cost of sales, including buying and occupancy 259,177 272,850 Selling, general and administrative expenses 146,086 151,969 405,263 424,819 Operating income 20,814 22,865 Interest expense 19,040 21,144 Earnings before income taxes 1,774 1,721 Income taxes 737 704 Net earnings $1,037 $1,017 Net earnings per common share $0.02 $0.02 Average number of common shares outstanding 51,982,226 51,957,100 Certain prior year amounts have been reclassified to conform to current presentation. -0- 4/23/92 /CONTACT: Debbie Koopman of Spiegel, 708-218-7980/ (SPGLA) CO: Spiegel Inc. ST: Illinois IN: REA SU: ERN
TQ -- NY046 -- 1832 04/23/92 11:36 EDT
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|Date:||Apr 23, 1992|
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