Goody's Family Clothing, Inc. reported total sales for October 2005 rose 6.8% to $103 million from $96.4 million for the same period last year. Comparable store sales were up 2.5% for the month. For the third quarter, sales rose 3.7% to $295.2 million from $284.8 million in the year-ago period. Comps for Q3 dipped 0.9% versus last year.
While the Company has not yet completed the preparation of its consolidated financial statements for the third quarter of fiscal 2005, as previously announced, it expects to report a net loss for the quarter that is significantly greater than the net loss of $0.02 per share reported for the third quarter of fiscal 2004. The expected loss is due in part to the decline in comparable store sales, which represented a significant shortfall from its plan, and because the Company was more promotional than called for in its plan during the quarter in an effort to stimulate sales and reduce seasonal inventories. Additionally, the Company incurred substantial expenses during the quarter in connection with the sale of the Company, which will increase the amount of the net loss.
The company will open one new store in Bowling Green, Ohio, and will hold the grand opening for a remodeled store in Camden, South Carolina. On November 17, 2005, the Company plans to open six new stores. The November openings will increase the total number of new stores opened during the current year to 31, concluding the Company's fiscal 2005 expansion program. During November, the Company will also re-open four stores closed due to the recent hurricanes. One storm-damaged store remains closed, but it is scheduled to re-open in 2006.
