In its most recent financial quarter, J. Crew reported a $16.8 million increase in sales and a $0.5 million increase in net income. Store sales also increased by 6.0%.
J. Crew released its 1st quarter report. Sales rose by 2% and there was lower than expected promotional activity (disconts). In addition, though same-store sales decreased by 5% and online sales by 6%, those were more than offset by the sales from 43 new stores opened in 2008.
J. Crew's stock price has fallen more than 75% this fiscal year. In an increasingly harsh economy, consumers are cutting back on clothes shopping. J. Crew has had to rely on sales and promotions to keep people in its stores; however those same sales have an adverse effect on the company's profit margins.
Shares of JCrew were upgraded by a CIBC World Markets analyst claiming that JCrew delivers clothing in line with current trends that draws customers to its stores.
J. Crew announced its Q2 results, which were below expectations. The profit was 21 cents per share and the revenue increased from $269.2 million last year to $304.7 million this year. However, the analysts were expecting Q2 earnings of 29 cents per share and revenue of $308.5 million.
