Retailer The Gymboree Corporation has reasserted its fiscal 2008 earnings guidance after revealing a 12% increase in fourth quarter gross profit to US$134.1m.

As previously announced, the company's fourth quarter sales increased 16% to $278.4m, with comparable store sales up 10%.

Gymboree said its gross profit was impacted by lower average selling prices. Income was $0.93 per diluted share, up from $0.82 per share in the prior year.

Full-year net sales rose 16% to $920.8m, while comparable store sales were up 7%. Income hit $80.3m, up from $71.2m.

Gymboree continues to forecast first quarter income of $0.73-0.75 per share, based on low single-digit comparable store sales growth.

For the full year, it expects earnings per share of $3.00-3.05, based on low single-digit comps.