FORT WORTH, Texas–Pier 1 Imports’ comparable-store sales sank 11.7 percent in September.
Consumer concerns about the financial meltdown and the effects of extreme weather “took a toll on our September sales results,” said Alex Smith, president and chief executive officer, in a statement.
“If we continue to experience traffic levels like those seen in recent weeks, we will not meet the current consensus for earnings expectations for the back half of the fiscal year,” he said.
Although Pier 1’s comp-store sales saw a sharp drop, the retailer’s underlying business “remains strong,” Smith said. “We continued to experience strong conversion rates and were able to achieve merchandise margin rates in September that were in line with our expectations.”