INDIANAPOLIS–Specialty retailer hhgregg reported first-quarter net income of $1.5 million, 30 percent down from last year’s first quarter.
Net sales in the quarter fell 3.7 percent to $284.4 million, driven downward primarily by weak sales in hhgregg’s major appliances and video products. Same-store sales fell by 14.7 percent, while gross profit margin declined by 80 basis points and selling, general and administrative expenses as a percentage of sales rose 34 basis points.
In its statement reporting the first-quarter results, hhgregg said it believes that net sales would grow 3 percent to 7 percent for this fiscal year as a whole, but that comparable-store sales would drop from 7 percent to 12 percent.