• Q2 net loss of $34.8m
  • Inventory reduction
  • Sales down 9.6%

 

US retailer The Bon-Ton Stores has reported wider second quarter net loss, but results exceeded company expectations.

Net loss totalled $34.8m for the second quarter of fiscal 2009, compared with $33.8m in the prior year period.

Total sales dropped 9.5% to US$609.2m, from $673.4m in the second quarter last year.

Selling, general and administrative expenses fell $23.5m.

Bud Bergren, president and CEO, said: "We continued to carefully manage inventory levels and control costs and are pleased to report results that exceeded our expectations, resulting in revised full-year guidance.

"During the quarter, we reduced our comparable store and clearance inventories and generated an approximate 130 basis-point improvement in our gross margin rate.

Full-year guidance included a comparable store sales decrease in the range of 7.0% to 9.0%, and gross margin rate of 36.0%.

Click here to view the company's second quarter results in full.