Fred's Inc. Reports Sales Results for the Month and Year-To-Date Period Ended April 4, 2015
Apr 9 15
Fred's Inc. reported sales results for the month and year-to-date period ended April 4, 2015. For the month, the company total sales for March increased 0.3% to $191.7 million from $191.0 million in March 2014. The company total sales for the prior year reflected the net closing of 62 locations in 2014 pursuant to the company's reconfiguration plan. Excluding last year's March sales of $8.4 million from those closed locations, total sales increased 5% for the month. Comparable store sales for the month increased 1.9% compared with a decrease of 1.2% in March of last year.
For the year to date, the company total sales for the first two months of fiscal 2015 decreased 1% to $344.9 million compared with $348.5 million for the same period last year. Once again, excluding sales of $15.8 million from closed stores for the comparable two-month year-to-date period in 2014, total sales increased 4% for the same period in 2015. On a comparable store basis, year-to-date sales increased 0.9% versus a 1.7% decrease for the year-earlier period.
Fred's, Inc. Announces Unaudited Earnings Results for the Fourth Quarter and Full Year Ended January 31, 2015; Provides Earnings Guidance for the First Quarter and Full Year of 2016
Mar 26 15
Fred's, Inc. announced unaudited earnings results for the fourth quarter and full year ended January 31, 2015. For the quarter, the company reported net sales of $504,425,000 compared with $495,033,000 for the same period a year ago. Operating loss was $15,721,000 compared with operating income of $5,565,000 for the same period a year ago. Net loss was $8,154,000 or $0.22 per basic and diluted share compared with net income of $3,966,000 or $0.11 per basic and diluted share for the same period a year ago. Loss before income taxes was $15,820,000 compared with income before income taxes of $5,455,000 for the same period a year ago. For the quarter, on non-GAAP basis the company reported operating loss of $735,000, loss before tax of $834,000 and net income of $703,000 or $0.02 per share.
For the year, the company reported net sales of $1,970,049,000 compared with $1,939,246,000 for the same period a year ago. Operating loss was $48,412,000 compared with operating income of $39,198,000 for the same period a year ago. Net loss was $28,904,000 or $0.79 per basic and diluted share compared with net income of $26,015,000 or $0.0.71 per basic and diluted share for the same period a year ago. Loss before income taxes was $48,916,000 compared with income before income taxes of $38,711,000 for the same period a year ago. For the year, on non-GAAP basis the company reported operating loss of $11,802,000, loss before tax of $12,306,000 and net loss of $7,268,000 or $0.20 per share.
The company provided earnings guidance for the first quarter and full year of 2016. Total sales for the first quarter of 2016 are expected to increase in the range of flat to up 2%. Comparable store sales for the first quarter also are expected to be flat to 2% compared with a decrease of 1.9% in the first quarter last year. Earnings per diluted share for the first quarter are forecasted to be in the range of flat to up $0.03 compared with $0.17 last year. The lower earnings guidance is due to the decline in general merchandise initial markup at the beginning of 2015, the West Coast port strike, which affects both the gross margin on receipts and sales in the quarter, and unusual favorable expense in the prior year not expected to recur.
Based on this outlook, the Company expects total sales for the year to increase 10% to 15% which includes the impact of the acquisition of Reeves-Sain Drug Store, Inc., which was announced on March 25, 2015. Comparable store sales for the year are expected to increase 4% to 6% compared with a decrease of 0.6% in the prior year. Total earnings per diluted share for 2015 are expected to be in the range of $0.50 to $0.58.
Fred's Seeks Acquisitions
Mar 26 15
Fred's, Inc. (NasdaqGS:FRED) is seeking acquisitions. Rick Chambers, Fred's' Executive Vice President Pharmacy Operations, said "We do see multi-year growth from the Entrust acquisition. It also strengthens our internal team to allow us to be better positioned to go out and look at other acquisition opportunities as they present themselves and would not be afraid at all to look at those opportunities."
Fred's, Inc. Announces Management Changes
Mar 25 15
Fred's, Inc. appointed Bryan Pugh named Chief Merchandising and Marketing Officer (CMMO), Craig Barnes promoted to Executive Vice President of Supply Chain, Global and Domestic Logistics and Mike Holligan promoted to Executive Vice President of Store Operations. Bryan Pugh brings to Fred's 30 years of retail experience. Among his many roles at Walgreen's for the last six years, he served as Chief Merchandising Officer responsible for $27 billion in sales. Prior to Walgreen's, Pugh worked for Tesco, PLC, where he was Executive Vice President of Operations for Fresh & Easy Neighborhood Markets, Chief Operating Officer and Senior Vice President of Merchandising and Marketing for Tesco Lotus Stores. Craig Barnes will assume the role of Executive Vice President of Supply Chain and Sourcing Logistics. Prior to joining Fred's, Barnes held executive positions at AutoZone, CARQUEST and Delphi Automotive. He has had full responsibility for P&L management, supply chain and store operations management, global logistics, sourcing, and inventory management. Mike Holligan has accepted the position of Executive Vice President of Store Operations. Holligan's extensive experience in store operations began at Wal-Mart, where he spent 18 years before joining Fred's. While at Fred's, Holligan has successfully worked as District Manager and Regional Vice President of Store Operations. He was a key leader in achieving store labor savings and inventory control while in those positions.
Fred's, Inc., Q4 2015 Earnings Call, Mar 26, 2015
Mar 16 15
Fred's, Inc., Q4 2015 Earnings Call, Mar 26, 2015