hhgregg Posts Small Loss
hhgregg Thursday announced that it posted a loss of $0.8 million for the most recent quarter, compared with a profit of $2.7 million the same time last year. The company attributed the loss to a 13.2 percent decrease in same-store sales, as well as increased advertising expenditures.
“As expected, our fiscal first quarter was a challenging period," CEO Dennis May said as part of the earnings release.
"We faced the lapping of last year’s appliance stimulus program, the grand opening sales from 26 new stores during Q1 last year and our most difficult comparable store sales comparisons in the past 11 quarters. Despite these difficult comparisons, strong inventory management allowed us to reduce inventory per store by nearly 9%. Our new stores continue to open strong and our new store sales productivity continues to be over 100%."