Mothers Work Inc the world's leading maternity apparel retailer announced operating results for the fourth quarter and full year fiscal 2007 ended September 30, 2007, and provided financial guidance for the full year fiscal 2008 reflecting significant earnings per share growth over fiscal 2007.
Net loss for the fiscal year ended September 30, 2007 (fiscal 2007) was $(0.4) million, or $(0.07) per common share (diluted), compared to net income for fiscal 2006 of $9.1 million, or $1.63 per common share (diluted).
During fiscal 2007, in two separate transactions, the Company redeemed the remaining $115 million principal amount of its outstanding 11-1/4% Senior Notes at a premium, which resulted in total after-tax debt repurchase charges of $0.94 per share, comprised of a $0.21 per share charge in the first quarter and a $0.73 per share charge in the third quarter. Net income before the debt repurchase charges for fiscal 2007 was $5.4 million, or $0.87 per common share (diluted).
This is lower than the Company's previous guidance range for fiscal 2007 diluted earnings per share of between $1.49 and $1.74 per share, excluding debt repurchase charges, provided in its July 24, 2007 press release, due to the reduction in sales and gross margin for the fourth quarter and pre-tax legal expenses which were approximately $3.0 million higher than planned for the fourth quarter, primarily related to certain intellectual property disputes.
Netloss for the fourth quarter of fiscal 2007 was $(5.4) million, or $(0.92) per common share (diluted), compared to the net loss for the fourth quarter of fiscal 2006 of $(0.6) million, or $(0.11) per common share (diluted).
Net loss before the debt repurchase charge for the fourth quarter of fiscal 2006 was $(0.1) million, or $(0.01) per common share (diluted). There was no debt repurchase charge in the fourth quarter of fiscal 2007.
The net loss for the fourth quarter of fiscal 2007 of $(0.92) per share was consistent with the Company's previous fourth quarter earnings per share guidance range of a loss of between $(0.89) and $(0.93) per share provided in its October 11, 2007 press release.
