The Talbots Inc. boosted its net income in the second quarter despite a decrease in sales.
The retailer generated sales of $370 million, compared with $384 million during the same period last year. However, net income rose to $20 million from $18 million–an increase over an earlier estimate.
Catalog sales declined by 5% to $47.4 million. Retail store sales fell by 2% to $644.7 million. The quarter ended Aug. 3.
Company sales totaled $761.7 million for the second half, compared with $785.4 million last year. Net income $55 million, during the first six months, vs. $57.8 million in 2001.
CEO Arnold B. Zetcher said in a statement that the firm experienced “better-than-expected regular-price selling of our late summer and early fall merchandise and above plan sales of our markdown merchandise.”
The Hingham, MA-based company plans to open 91 stores this year. It also is about to debut a new television commercial, and expand its print advertising program, Zetcher added.
“These efforts are in addition to several other marketing initiatives, including mail and various customer outreach programs,” he continued.
The company is also on track to introduce its men’s line in a 24-page catalog supplement that will be mailed in early October.
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