Jos. A. Bank Clothiers Inc. generated $161.9 million in first-quarter 2009 net sales, up from $145.4 million in net sales a year ago. The company’s net income rose from $9.8 million to $11.5 million during the same period. The most recent quarter ended May 2.
Direct marketing represents a relatively small percentage of this: Direct channels brought in $15.4 million during the most recent quarter, compared with $13.8 million a year ago. But that 12.1% year-over-year growth was much stronger than the 4.3% increase seen in comparable store sales, and even outpace the 11.4% overall growth rate.
Direct marketing was more profitable, as well. At just under $6.5 million in operating income, direct marketing profits made up 41.8% of direct sales, compared with store income of $27.5 million, or 19.1% of sales.
The company managed to make its DM activity more profitable despite trimming sales and marketing expenses from 41.9% of total revenue a year ago to 40.1% for the quarter just ended. Overall expenses for the remainder of 2009 are expected to increase, however, as the chain promotes new retail outlets.
