Williams-Sonoma profit falls 41.2% as sales slide
By Furniture Today Staff -- Furniture Today, September 14, 2008
SAN FRANCISCO — Williams-Sonoma, parent company of Pottery Barn and several other retail formats, said net income fell 41.2% in its second fiscal quarter amid a double-digit decline in same-store sales.
Total sales for the quarter ended Aug. 3 fell 4.6% to $819.6 million, but same-store sales dropped 11.7%.
“We were disappointed by the degree to which the macroeconomic environment deteriorated in the second quarter — the impact of which was progressively declining comparable store sales throughout the quarter,” said Howard Lester, chairman and CEO.
“Despite this trend, we remained focused on the aspects of our business we could control, successfully executed against our strategic operational initiatives, and delivered diluted earnings per share in line with expectations,” Lester added.
Net income for the quarter totaled $18.4 million or 17 cents per share, a figure that included a one-time gain of 9 cents per share from the sale of its corporate airplane. In last year's second quarter, net income was $26 million, or 23 cents per share.
The company said same-store sales fell 16% at Pottery Barn, 13.5% at Pottery Barn Kids and 4.5% at Williams-Sonoma locations.
