J. C. Penney Company, Inc. saw comparable sales in its department store sales increase 3.6% for the four weeks ended Jan. 27, 2007, above initial expectations for a low-single digit increase and compared with a 2.5% gain last year. Total department store sales increased 5.5% for the four weeks. Including this year's 53rd week, total department store sales increased 28.4% for the five weeks ended Feb. 3, 2007. The best sales performances for the month were in the apparel areas, which reflected favorable sell through of spring merchandise as well as strong demand for cold weather apparel and accessories. Geographically, all regions of the country generated positive sales results.
Internet sales through www.jcp.com increased 23.5% for the four-week January period, on top of a 28% increase last year. Total Direct sales which includes internet, catalog print media and outlet stores, decreased 1.5% for the four-week period and was in-line with guidance for sales to be down slightly. Last year, Direct increased 4.3%. Including this year's 53rd week, total Direct sales increased 24.0% for the five week period. Sales increases in women's, men's and children's apparel were offset by continued softness in home.
February Sales Guidance
For February, comparable department store sales are expected to increase low-single digits and Direct sales are expected to decrease slightly versus last year. In last year's February period, comparable department store and Direct sales increased 2.3% and 4.5%, respectively.
Preliminary January Sales Summary
($ in millions)
Period Ended
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Feb. 03, Jan. 28, %
2007 2006 Increase
--------- --------- ---------
5 Weeks
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Department stores $1,153 $898 28.4
Direct 243 196 24.0
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Total Company $1,396 $1,094 27.6
14 Weeks
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Department stores $5,722 $5,299 8.0
Direct 944 904 4.4
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Total Company $6,666 $6,203 7.5
53 Weeks
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Department stores $16,950 $15,943 6.3
Direct 2,955 2,838 4.1
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Total Company $19,905 $18,781 6.0
Preliminary January Sales Summary
($ in millions)
Excluding the 53rd Week
% Increase/(Decrease)
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Comparable Comparable
Total Sales Stores Stores
2006 (a) 2006 2005
---------------- ----------- ------------
5 Weeks
---------------------------
Department stores 5.5 3.6 2.5
Direct (1.5)
Total Company 4.2
14 Weeks
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Department stores 4.1 2.2 2.6
Direct (1.2)
Total Company 3.3
53 Weeks
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Department stores 5.0 3.7 2.9
Direct 2.4
Total Company 4.6
(a) This year's 53rd week accounted for sales (in millions) of $206 and $50 for department stores and Direct, respectively.
