Federated Department Stores total sales were $1.352 billion for the five weeks ended October 4, 2003. This represents an increase of 3.0 % compared to total sales of $1.314 billion in the same period last year. On a same-store basis, Federated's September sales were up 3.2 %, compared to prior forecasts of flat to down 1 %
For the year to date, Federated's sales totaled $9.154 billion, down 2.0 % from total sales of $9.337 billion in the first 35 weeks of 2002. On a same-store basis, Federated's year-to-date sales were down 2.0 %.
Terry J. Lundgren, Federated's president and chief executive officer, said the company was pleased by the strength of its September sales.
“We were especially encouraged by the strength of apparel sales across the company in September, at least partially reflecting the arrival of fall's cooler temperatures in the eastern half of the country,” Lundgren said, adding that “it remains to be seen whether this sales trend is permanent or if it reflects sales taken from October and the fourth quarter.”
Lundgren said that based on August and September's stronger-than-anticipated sales, as well as the company's current assumptions for October same-store sales that will be flat to up slightly, “We now anticipate Federated's third quarter earnings to be in the range of 30-33 cents a share, which exceeds our prior third-quarter guidance of 25-30 cents a share.” He said the company also is reaffirming its fourth quarter sales and earnings guidance, which foresees sales that are in the range of down 1 % to up 1 % and earnings of $2.15 – $2.20 a share.
