Bombay Announces September Revenue Decrease
Furniture World News
he Bombay Company, Inc. reported that revenue for the five-week period ended October 1, 2005 declined 3.5% to $46.7 million compared to $48.3 million for the five-week period ended October 2, 2004. Same store sales for stores opened more than one year declined 1.6%. Revenue from non-store activity, including Internet, Mail Order, International and Bailey Street Trading Company, was approximately 4% of total revenue for Fiscal September 2005 compared to approximately 11% for Fiscal 2004. Revenue for the five weeks ended October 2, 2004 includes $1.6 million from Bailey Street Trading Company, the assets of which were disposed during the second quarter of Fiscal 2005.
For the thirty-five weeks ended October 1, 2005, total revenue increased 2.0% to $336.4 million from last year's $329.8 million while same store sales declined 0.4% for the year-to-date period. Revenue from non-store activity was approximately 5% of total revenue for Fiscal September 2005 including $6.9 million from Bailey Street compared to approximately 10% for Fiscal 2004 including $10.4 million from Bailey Street.
James D. Carreker, Chairman and Chief Executive Officer stated, "Sales for the month were impacted by the devastation of hurricanes Katrina and Rita as well as rising fuel costs. Overall for the month, those regions farthest from the hurricane were the least impacted. Canada, the West Coast and the Northeast all had positive or flat same store sales for the month. Internet sales continue to be softer than last year while total store sales increased by 2% and product margins improved due to a less promotional calendar than last year. Transactions and traffic were negatively affected by current events but somewhat offset by a strong increase in average ticket due to an increase in the sales of furniture and wall decor. We are not revising annual earnings guidance at this point. We continue to be optimistic about our product assortment and believe that we are well positioned for the fourth quarter."
The month end store count includes three stores that have been temporarily closed as a result of Hurricane Katrina. One store opened during the first week of October. The Company expects the remaining two stores to open prior to the holiday selling season.
The Bombay Company, Inc. designs, sources and markets a unique line of home accessories, wall decor and furniture through 495 retail outlets, specialty catalogs and the Internet in the U.S. and internationally.
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