Apparel stores operator Gymboree Corp.(GYMB), Thursday said its fourth quarter comparable store sales were down 2%, despite a 4% increase in net sales, which also came in above estimates. The company also raised its fourth quarter and full year earnings forecast from the prior guidance range.
Gymboree also said it is elevating Vice President of Finance Jeffrey Harris as Chief Financial Officer. Harris succeeds Blair Lambert, who will now continue as Chief Operating Officer through the third quarter of fiscal 2010.
Lambert has also earlier announced his intention to retire from day-to-day management after the completion of the third quarter. However, will thereafter continue to serve as a member of the Board.
The San Francisco, California-based company said its comparable store sales or sales of stores opened at least for a year in the fourth quarter were down 2%.
Net sales from retail operations increased 4% to $295.7 million from $284.8 million in the same quarter a year ago. On average, 10 analysts polled by Thomson Reuters expected sales of $294.91 million for the quarter.
Looking ahead, Gymboree said it now expects fiscal fourth quarter earnings in a range of $1.08 to $1.10 per share, up from the prior range of $1.03 to $1.06 per share. Street currently expects earnings of $1.06 per share for the quarter.
For the full fiscal year of 2009, earnings are now expected to be in a range of $3.38 to $3.40 per share, an increase over prior year earnings of $3.21 per share. Street currently expects earnings of $3.37 per share for the year.
GYMB is currently trading at $40.55, down $0.14 or 0.34%, on a volume of 0.50 million shares.
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