Gottschalks 3Q impacted by Lamonts
December 7, 2000,
FRESNO, CA - Picking up the tab to overhaul and reopen the 34 Lamonts Apparel Stores it bought earlier this year, Gottschalks Inc. posted a $2.4 million third-quarter loss, compared with a year-before profit of $358,000.
But getting a big lift from the newly reopened Lamonts units, sales shot up by 24.7 percent, to $153.2 million from $122.9 million last year. Same-store sales advanced by 2.8 percent, while year-to-date comps moved up a hefty 5.8 percent.
"Our third-quarter results are on target with our post-acquisition operating plan," said Jim Famalette, president and ceo.
With its core business still showing improvement, average gross margin improved by 140 basis points, to 37.2 percent from 35.8 percent a year ago. According to Famalette, they were lifted by "increased buying power in the marketplace as a result of large volume purchases for the opening of our new Pacific Northwest stores."
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