For the 13 weeks ended May 2, Dillard’s reported net income of $109.6 million, or $2.66 per share, compared to net income of $111.7 million, or $2.56 per share, for the prior-year period. Comparable store sales slipped by 1%, as posted by the company.
Earnings fell well short of a Zacks Investment Research analyst average estimate of $2.80.
Total merchandise sales for the quarter were $1.52 billion and versus $1.54 billion for the 13-week period ended May 3, 2014, the company stated.
Sales trends were notably weak in the home and furniture department, the company related. Sales trends were strongest in the juniors’ and children’s apparel category followed by shoes and ladies’ apparel. As regards regions, sales trends were strongest in the Eastern, Dillard’s maintained, followed by the Central and Western regions, respectively.
“We are disappointed with our first quarter performance,” William Dillard, II, the company’s CEO, said in announcing the first quarter financial results. “Our 1% sales decline hampered our ability to leverage operating expenses and to drive net income growth. Although inventory is higher than we would like, we believe the levels are manageable.”