Michelle

Charming Shoppes reduces earnings outlook

By Jane M. Von Bergen

INQUIRER STAFF WRITER

Charming Shoppes Inc. says its second quarter earnings won't be quite as charming as they previously forecast. The Bensalem-based retailer, which specializes in women's plus-size apparel, now says it will earn 18 cents to 20 cents per share in the quarter ending Aug. 4, compared to earlier forecasts of 25 cents to 27 cents a share.
The revised forecast is less than the 24 cents per share earned in last year's second quarter, which ended July 26.
Comparable store sales are also expected to be flat or decline by low single digits. Last year, comparable store sales increased 2 percent in the quarter.
Sales have been slower than expected, and the company had to increase markdowns more than it planned, in order to move the goods. Even so, revenues are expected to increase 3 to 4 percent, to a range of $785 million to $795 million. Last year's second quarter sales were $763.4 million.
Charming Shoppes operates 2,409 stores known as Lane Bryant, Fashion Bug, Catherines Plus Sizes and Petite Sophisticate Outlet.
Company shares were down 20 cents, or about 1.7 percent, to $11.43 in midday Nasdaq trading.

Contact staff writer Jane M. Von Bergen at 215-854-2769 or [Only Registered Users Can See Links. Click Here To Register].