Aug 25, 2009
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Casual Male Retail's second quarter profit nearly doubles

Aug 25, 2009

Aug 25 (Reuters) - Casual Male Retail Group Inc's (CMRG.O) quarterly profit nearly doubled, helped by tighter cost and inventory controls.

Photo: www.casualretail.com

For the second quarter, the men's apparel retailer posted a net income of $3.6 million, or 9 cents a share, compared with $1.9 million, or 5 cents a share, a year ago.

Sales fell about 13 percent to $98.3 million, while comparable sales for the quarter ended Aug. 1 fell 13.9 percent.

Two analysts on average were expecting a profit of 4 cents a share on revenue of $102.0 million, according to Reuters Estimates.

Selling, general and administrative costs declined 18 percent to $35.5 million, while inventory levels fell 16 percent to $94.3 million.

Casual Male Retail, which operates the Casual Male XL and Rochester Big and Tall Stores, has taken several steps to manage expenses, including reducing corporate headcount, to contend with the weak sales climate.

The company, which makes clothing for bigger and taller men, also expects fiscal 2009 sales to fall about 10 to 12 percent. It had earlier forecast a decline of 10 percent.

Shares of the Canton, Massachusetts-based company closed at $2.19 Monday 24 August on Nasdaq.

(Reporting by Viraj Nair in Bangalore; Editing by Aradhana Aravindan)

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