Ann Inc Q1 comparable sales down 1.8 percent

REPORT_ Ann Inc, for the fiscal first quarter of 2014, reported earnings per

diluted share of 0.11 dollars on a GAAP basis, or 0.33 dollars per diluted share. This compares with earnings per diluted share of 0.44 dollars in the first quarter of 2013. Total net sales for the first quarter of fiscal 2014 were 590.6 million dollars, compared with net sales of 574.5 million dollars in the first quarter of fiscal 2013. Total comparable sales for the quarter decreased 1.8 percent versus a decrease of 0.5 percent in the first quarter of 2013.

Commenting on the development, Kay Krill, President and Chief Executive Officer, said, “Despite the headwinds of severe winter weather, soft traffic across the industry and the resulting higher than anticipated promotional environment, we delivered first quarter results that met our bottom-line expectations. Looking ahead, we remain highly focused on our objective to deliver our third consecutive year of record earnings per share in 2014.”

By brand, net sales across all channels of the New York headquartered Ann Taylor brand totaled 219.9 million dollars in the first quarter of 2014, compared with net sales of 219.3 million dollars in the first quarter of 2013. At the Loft brand, net sales across all channels were 370.6 million dollars in the first quarter of 2014, compared with net sales of 355.2 million dollars in the first quarter of 2013.

At Ann Taylor, total brand comparable sales declined 2.3 percent, reflecting flat comparable sales at Ann Taylor, which includes Ann Taylor stores and anntaylor.com, and a decline of 7.1 percent in the Ann Taylor Factory channel. At Loft, total brand comparable sales declined 1.6 percent, reflecting decreases of 1.8 percent at Loft, which includes Loft stores and Loft.com, and a decline of 0.2 percent in the Loft Outlet channel.

During the first quarter of fiscal 2014, the company opened 13 new stores, comprised of three Ann Taylor Factory stores, seven Loft stores and three Loft Outlet stores, and closed four Ann Taylor stores and two LOFT stores. Total store count at the end of the fiscal first quarter was 1,032, comprised of 264 Ann Taylor stores, 111 Ann Taylor Factory stores, 544 Loft stores and 113 Loft Outlet stores.

For the fiscal second quarter of 2014, the company expects total net sales to be 670 million dollars, reflecting a total company comparable sales increase in the low-single digits. For fiscal 2014, the company expects total net sales to be 2.610 billion dollars, reflecting a total comparable sales increase in the low-single digits. The company expects to have approximately 1,045 stores at fiscal year-end.