Tuesday Morning Posts $1.4 Million Net Loss in Fourth Quarter
DALLAS-A drop in sales and an increase in expenses brought Tuesday Morning's fiscal year to a laggard end, with a net loss for the fourth quarter of $1.4 million, compared to net income of $1.3 million in last year's fourth quarter.
Net sales for the closeout retailer slipped 3 percent to $194.8 million in the quarter, which ended on June 30. Selling, general and administrative expenses were up 1.1 percent in dollars and 161 basis points as a percentage of sales, to 38.1 percent. Gross margin fell 85 basis points to 37.3 percent.
Noting that Tuesday Morning was "disappointed" with the fourth-quarter results, Kathleen Mason, president and CEO, said the company is "focused on several key areas to optimize our marketing efforts, improve our customer's experience on our website and drive traffic to our stores. These efforts, combined with disciplined cost and inventory management, and product capital allocation, will be our focus this year as we strive to drive sales, improve profitability and enhance shareholder value."
For the fiscal year as a whole, Tuesday Morning's net income totaled $9.6 million, down 11 percent from the prior year. Net sales edged down 0.9 percent to $821.2 million.