ONE PRICE SEES NET FALLING
NEW YORK — One Price Clothing said sluggish sales will cause second-quarter earnings to drop between 25 and 35 percent.
The off-price chain, based in Duncan, S.C., expects earnings between 25 cents and 30 cents versus last year’s 41 cents. Same-store sales are expected to drop between 3 and 5 percent
The operator of 674 stores, primarily in the South, said stronger sales in dresses, as well as faster-trending casual and career sets, were offset by weakness due to merchandising issues, particularly junior, misses’ and plus-size separates. To a lesser degree, it blamed the impact of higher gasoline prices on its core, low-to moderate-income customers.
“We are aggressively working through the merchandising issues that negatively impacted the quarter,” said Larry I. Kelley, president and chief executive. “I am working very closely with my team to improve our product offerings for the fall season and the all-important holiday sales period.”