Pacific Sunwear of California, Inc. reported that total sales for the four weeks of fiscal July ended August 4 were $111.5 million, a decrease of 2.8% from total sales of $114.7 million during the same four-week period ended August 5, 2006. Total company same-store sales decreased 4.6% during the same period. By concept, PacSun same-store sales decreased 3.1% and demo same-store sales decreased 20.6% compared to the same four-week period last year.
Total sales for the first 26 weeks of fiscal 2007 ended August 5, 2007 were $651.5 million, an increase of 4.9% over total sales of $621.0 million during the same 26-week period ended August 5, 2006 last year. Total company same-store sales increased 0.4% during the same period. By concept, PacSun same-store sales increased 1.9% and demo same-store sales decreased 11.5% compared to the same 26-week period last year.
Given the much weaker than expected sales and gross margin in fiscal July, PSUN now expects to report a GAAP loss of 16 cents to 17 cents per diluted share, which includes a charge of approximately 14 cents attributed to the previously announced lease termination and other charges associated with the closing of the 74 demo stores, and 9 cents per diluted share of impairment charges related to its One Thousand Steps retail concept. Excluding these charges, the company expects non-GAAP earnings between 6 cents and 7 cents per diluted share.
