Delia’s Inc. posted a net loss of $1.3 million for the third quarter, compared to net income of $3.5 million in the prior year.
The direct marketer and retailer reported revenue of $59.7 million for the quarter ended Oct. 31, a 4.9% increase over revenue of $56.9 million last year.
The New York company reported direct segment revenue of $24.5 million for the quarter, a 0.5% increase over $23.3 million in the prior year.
The firm reported that gross margin was 36.5% in the quarter, a decrease from 37% last year.
Management attributed this to increased direct marketing clearance sales which were partially offset by improved inventory management.
“During the third quarter we continued our trend of improved operating results, while reducing inventory levels, controlling costs and preserving cash,” said Robert Bernard, CEO, in a statement. “However, we experienced weak sales performance in both segments of the business in October, which intensified during the last two weeks of the month and drove our negative comparable store sales results for the quarter in our retail segment.”
