Pier 1, Bombay, Havertys turn in not-so-merry May
By Janice Chamberlain -- Furniture Today, June 21, 2004
Fort Worth, Texas — Fort Worth, Texas— May turned gloomy for retailers Pier 1 Imports, The Bombay Company and Haverty Furniture.
Only Pier 1, based here, managed to post a sales gain for the month, up 1.2% to $133.6 million. But same-store sales for the specialty retailer were off 7.6%.
Bombay, also based in Fort Worth, reported monthly sales of $37.4 million, off 5% from last May, coupled with a same-store sales drop of 16%. Revenue from non-store activities, including Bailey Street Trading Co., Internet, international sales and mail order, accounted for 9% of revenues, up from 8% a year ago.
Havertys, based in Atlanta, recorded revenues for the month of $57.8 million, off 4.3% from May 2003, with same-store sales falling 8.1%.
All three retailers said the late Memorial Day holiday this year affected their numbers. Bombay and Pier 1 reported sales for the four weeks ended May 29, pushing two days of holiday sales into the June period. Havertys doesn't record sales until products are delivered, also delaying much of the revenue until June.
For the fiscal year to date, Pier 1 said sales were up 7.3% to $432 million, with same-store sales off 8%. Marvin Girouard, chairman and CEO, attributed May sales to "disappointing promotional events over Mother's Day weekend and Memorial Day."
He said sales were particularly soft in the Northeast and Midwest.
Pier 1 is scheduled to report first-quarter earnings June 15 and now projects earnings per share of 12 cents to 14 cents, down from previous guidance of 14 to 17 cents.
For the first five months of 2004, Havertys reported sales of $305.4 million, up 6.5% from the comparable 2003 period. Same-store sales were up 2%. Clarence Smith, president and CEO, said the company plans to open four stores this year — in Cincinnati, San Antonio, Baton Rouge, La., and Columbia, Md. — and expand two existing stores.
Bombay said that for the 17 weeks ended May 29, its revenues were up 1% to $161 million, with same-store sales down 10%. James Carreker, chairman and CEO, said May sales reflected the lack of new product in core operations, but "inventory dollars are now on plan, and we continue to expect improvement in the merchandise assortment as new product arrives for our fall season beginning in July."
| Retailers report May revenues | |||
|---|---|---|---|
| Dollar amounts in millions | |||
| CompanySalesChangeSame-store change | |||
| Pier 1 Imports1 | $133.6 | 1.2% | -7.6% |
| Havertys | 57.8 | -4.3 | -8.1 |
| The Bombay Company1 | 37.4 | -5.0 | -16.0 |
| 1. For the four weeks ended May 29, 2004 | |||
