Tween Brands Inc., a clothing retailer for girls age 7 to 14, said Wednesday it lost $2.8 million in the second quarter as revenue slipped during the recession, especially at stores open at least one year.
The New Albany, Ohio-based company lost 11 cents per share in the quarter that ended Aug. 1. That contrasts with a bigger loss of $6.7 million, or 27 cents per share, last year.
Excluding store impairment charges of $3.5 million, or 4 cents per share, and merger expenses of $1.9 million, or a penny per share, the company would have reported a loss of 16 cents per share in the most recent period.
The company was able to narrow its loss because of tight inventory, increased promotions, and lower expenses.
Analysts polled by Thomson Reuters had expected a larger loss of 37 cents per share and revenue of $198.9 million. The estimates typically exclude one-time items.
Revenue declined 8 percent to $205.1 million from $223.1 million.
Same-store sales, or sales at stores that have been open at least a year, fell 12 percent. The company said the drop was due to the economy and a tough comparison over the same quarter in 2008, when sales were boosted by Webkinz's strong performance.
Tween Brands said its proposed merger with Dress Barn Inc. remains on track and is expected to close in the fourth quarter.
