BJ’s sales rise, profits fall
Staff Staff -- Furniture Today, March 7, 2007
Natick, Mass. – Net income for BJ’s Wholesale Club in 2006 was $72.0 million, down 44% from $128.5 million in 2005. Sales for the year rose 7.2% to $8.3 billion. Comparable club sales for the 172-unit eastern regional chain increased by 1.2%, including a contribution from gasoline sales of 0.7%.
In the good news department, said cfo Frank Forward, “The average transaction increased about 3% for the year.”
Herb Zarkin, chairman, president and ceo, said 2007 will see more efficient logistics, better timing of Asian-sourced product, and increased field staff to drive new memberships and boost shopper purchases. He said BJ’s will open up to 10 new clubs in existing markets.
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