Gordmans Registers $2.5 Million Loss in Third Quarter
OMAHA, Neb.--Midwest retailer Gordmans Stores reported a net loss of $2.5 million in the third quarter ending on Oct. 30, compared to net income of $3.9 million in last year's third quarter.
The quarterly loss included non-recurring charges of $10.7 million, without which net income would have risen 9.3 percent. Net sales increased 11 percent to $123.6 million, which included a gain of 6 percent in same-store sales. Gross margin picked up 72 basis points to finish the quarter at 44.2 percent. Jeff Gordman, president and chief executive officer of Gordmans, credited the improvements in same-store sales and gross margin for leading the retailer to above-plan third-quarter results.
Selling, general and administrative expenses jumped 39 percent on a dollar basis, and increased 952 basis points as a percentage of sales, to 47.3 percent.
For the fourth quarter, Gordmans expects net sales to range between $160 million and $165 million, which would reflect a same-store sales increase in the mid-single digits.