(RTTNews) - Women's specialty retailer AnnTaylor Stores Corp. (ANN: News ) is scheduled to report its third-quarter results before the market opens Friday, with analysts forecasting earnings of $0.07 per share on revenues of $473.85 million. In the year-ago period, the company reported a breakeven per share on a non-GAAP basis, and net sales of $527.2 million.

For the third quarter, the company expects a slight sequential improvement in both total sales and gross margin rate performance from the levels achieved in the second quarter of 2009.

For the second quarter of fiscal 2009, the company reported a net loss of $18.0 million or $0.32 per share, compared to a profit of $29.3 million or $0.50 per share in the prior-year period, reflecting restructuring costs and declining sales. Net sales for the second quarter dropped to $470.2 million from $592.3 million in the previous year.

While reporting second-quarter numbers, Kay Krill, President and Chief Executive Officer of Ann Taylor, said, "We are entering the third quarter with a very healthy mix of inventory at both brands that is highly penetrated in new, fresh product for Fall selling. LOFT began the season with a compelling offering of the feminine, casual styles at great value that we are known for, and at Ann Taylor we have begun to flow product into the stores that represents our new brand positioning, with a full Fall lineup expected in stores at the end of the month."

For the full year, AnnTaylor expects sales to continue to be under pressure, citing the macro environment and its particular impact on the aspirational luxury sector and professional working women. However, comparable store sales are expected to improve at both of the company's brands in the second half of 2009, compared with the first half of fiscal 2009.
Further, the company expects to generate an incremental $60 million in ongoing annualized savings from its strategic restructuring program. Total restructuring costs for 2009 are estimated to be about $30 million - $35 million.

Among AnnTaylor's rivals, Chico's FAS Inc. (CHS: News ) posted higher profit for the third quarter totaling $22.75 million or 0.13 per share, compared to $2.00 million or $0.01 per share in the year-ago quarter, aided by higher sales and margins. Net sales for the quarter rose 13.3% to $446.86 million from $394.24 million in the previous year. Comparable store sales grew 12.8% for the third quarter.

Smaller peer, New York & Co. Inc. (NWY: News ) incurred a third-quarter loss of $6.30 million or $0.11 per share, narrower than the previous year's loss of $7.92 million or $0.13 per share, reflecting better than expected improvement in comparable store sales and lower selling, general and administrative expenses. Net sales for the quarter declined to $227.95 million from $249.03 million a year ago, with comparable store sales decline of 8.4%.

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