Shift In Easter Impacts Cato April Comps, Sales; Expects Growth In Q1 Earnings

(RTTNews) - Value-priced fashion apparel and accessories retailer Cato Corp. (CATO) Thursday reported a 14 percent fall in April comparable store sales, due to the shift of Easter. Net sales for the four week period declined 10 percent to $84.1 million from $93.5 million last year.

For the first quarter, comparable sales were down by 3 percent and net sales edged down to $281.6 million from $282.5 million in the previous year.

The company noted that the shift in Easter was beneficial for its March sales. The combined results for the two months recorded a 3 percent increase in sales and a flat comparable sales.

Looking ahead, the company expects a growth in first quarter earning to a range of $1.08 to $1.10 per share compared to $1.04 last year. The company attributed lower incentive compensation expenses and a favorable tax adjustment for the growth in earnings for the first quarter.