JACKSON, Tenn.–Kirkland’s, a major specialty retailer of home decor, reported a plunge in profits of 87 percent for the fourth quarter ended Feb. 2.
In a statement, the retailer said its quarterly earnings fell to $1.49 million, compared with $11.39 million during the same period the year before.
Earnings per diluted share fell to 8 cents, down more than 86 percent from the 58 cents in the year-ago period.
Noting that the quarter had only 12 weeks this year, compared with 13 weeks last year, the company reported sales of nearly $138 million, down 15.8 percent over the year.
Robert Alderson, chief executive officer, said in a statement that the retailer had set an objective for the quarter to “improve the liquidity and cash flow of the company while continuing to make progress on our merchandising execution.“ The firm closed underperforming stores, and reduced the pace of store openings and capital expenditures.
He added that projected inventory levels were reached despite “one of the tougher quarters in recent memory in terms of macroeconomic trends and margin pressures.”