Second quarter losses at clothing company Guess? Inc will be wider than expected after June same store sales fell 6.2 per cent. However, the company expects sales to improve in the second-half.

In a statement Wednesday, Los Angeles-based Guess? said total retail sales were $23.5 million, down 1.6 per cent from $23.8 million in the year-ago period. It now expects to report a second-quarter loss of 16 cents to 18 cents per diluted share, compared to a previous forecast of a 12- to 14-cent loss.

For the four weeks ended 29 June, total retail sales were $23.5 million, down 1.6 per cent from $23.8 million in the year-ago period. Same-store sales for June declined 6.2 per cent, as same-store sales for full priced retail stores declined 5.5 per cent and same-store sales at factory outlet stores decreased 8.1 per cent.

For the second quarter, total retail sales were down 4 per cent to $79.9 million from $83.2 million in the year ago period, as same-store sales decreased 7.4 per cent.

Carlos Alberini, president and chief operating officer, said: "While gross product margins in our retail business increased during the second quarter from the prior year period, this improvement was offset by lower comparable store sales and increased store expenses as a result of a larger store base."

Alberini said that company's wholesale segment has also "continued to encounter a difficult department store environment."