Ross Stores, Inc. reported sales of $450 million for the four weeks
ended August 4, a 9% increase over the $414 million in sales during the
prior year. Comps gained 1%.
Michael Balmuth, Vice Chairman, President and Chief Executive Officer,
commented, “Comparable store sales in July were below our expectations
for a 3% to 4% increase. After performing in line with plan during the
first two weeks, sales slowed during the latter part of the month,
especially in our back-to-school categories. Although disappointing, we
are hopeful that this is a temporary issue driven mainly by a
larger-than-planned impact from the later back-to-school start dates
compared to last year, especially in Texas and Florida. These two key
states were also negatively affected by the shift in sales tax
holidays, which moved from July last year into August this year. As
expected, we estimate that this change reduced same store sales for the
company by at least 1% in July.”
Balmuth continued, “Based on current margin and expense trends, we
continue to expect earnings per share for the 13 weeks ended August 4,
2007 to be $.36 to $.37, up 13% to 16% over second quarter 2006
earnings per share of $.32. Looking ahead, we plan to provide sales and
earnings guidance for the third quarter during our second quarter
earnings call on Wednesday, August 22nd.”
For the 13 weeks, sales jumped 10% to $1.445 billion from $1.317
billion. Comparable store sales rose 2% over the 13 weeks ended August
5, 2006. Comparable store sales rose 4% for the second quarter ended
July 29, 2006.
For the six months ended August 4, 2007, sales were $2.855 billion, a
9% increase over the $2.627 billion in sales for the six months ended
August 5, 2006. Same store sales for the six months ended August 4,
2007 grew 1% over the six months ended August 5, 2006. Comparable store
sales rose 5% for the six months ended July 29, 2006.
