Stein Mart makes comeback in 4Q

HTT Staff -- Home Textiles Today, 3/10/2011 2:06:57 PM

Jacksonville, Fla. - Stein Mart's net income surged in its fourth quarter largely thanks to operational efficiencies and better inventory management. Sales and comps were slack.

Fourth quarter net income was $18.8 million or 42 cents per share compared to $2.7 million or $.06 per diluted share last year.

However, sales decreased by 1.5% to $336.7 million, and comps declined 1.2%.

For the full fiscal 2010, net income jumped 106.8% to $48.8 million or $1.08 per share, compared to $23.6 million or 54 cents per share in 2009.
For the year, sales were down 3.1% to $1,181.5 million, and comps dipped 1.8%.

Stein Mart, which operates 264 units, is cautiously encouraged by these results as it looks ahead to the new quarter and fiscal year.

"Our long-term success is dependent on gaining more traction in sales growth," David H. Stovall, Jr., president and ceo. "Our focus in 2011 is increasing sales by attracting more customers and building our share of their spending."

The retailer will continue to plan "conservatively, including rigorous cost and inventory management which will allow increasing sales to leverage to the bottom line," Stovall added.