The Bombay Co. Inc. reported a net loss of $19.9 million for the second quarter, compared with a net loss of $9.4 million for the same period a year ago, and announced that it would cut staff.
The direct marketer and retailer posted revenue of $121.3 million for the quarter ended July 29, off 5.3% from $128 million last year.
Management attributed these results to soft sales, which led to higher inventory and reduced profits.
The Fort Worth, TX firm’s Internet and mail order revenue grew to $7.3 million for the quarter, an improvement over $4.5 million during the comparable period last year. The increase was driven primarily by Internet sales.
To cut its losses, the firm plans to cut $31 million in expenses partly by:
*Reducing staffing including three senior managers.
*Eliminating unproductive print advertising.
*Reducing discretionary in-store markdowns.
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