US: Bon-Ton Stores prepares for possible FY loss
US department store retailer The Bon-Ton Stores has said it could swing to a full-year loss after unfavourable weather weighed on December comparable store sales.
The company adjusted its guidance to range from a loss per share of $0.30 to earnings per share of $0.15, compared to its earlier view of earnings per share of $0.15-0.75. Adjusted EBITDA is forecast to be $160-170m, down from $170-190m.
President and CEO Brendan Hoffman said: "We are disappointed with the deceleration in sales during December, particularly given the strong start to the holiday season beginning with Black Friday and extending through the early part of the month.
"Adverse weather and treacherous travel conditions in the majority of our markets resulted in a sharp reduction in traffic and hampered promotional events on key weekend selling dates leading up to and continuing after Christmas."
Despite the sales shortfall, Hoffman added, Bon-Ton ended the month with lower year-on-year inventory levels.
"We believe that we are heading in the right direction with our merchandise assortment and will continue to focus on executing our long-term initiatives while managing through a difficult retail environment."
Prolonged adverse weather conditions resulted in a financial performance that came in below expectations for US department store retailer The Bon-Ton Stores in its first-quarter....
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