Delia’s Trims Net Loss

May 28, 2009 11:01 PM  By

First-quarter sales at cataloger/retailer Delia’s increased 11.3%, to $52.1 million, compared with $46.8 million for the same period last year. For the 13-week period ended May 2, net loss was $3.6 million, compared to a net loss of $5.9 million after the first quarter in 2008.

Total retail sales increased 10%, to $25.2 million, from $22.9 million. Sales for the direct segment, which includes the Delia’s and Alloy teen girls’ apparel catalogs, increased 12.5%, to $26.9 million, from $23.9 million. Direct sales were driven by higher clearance activity following the fourth quarter holiday sales period, according to a company release.

CEO Robert Bernard added: “We are pleased with the improvement in sales trends and traffic that we experienced in April with the Easter and spring break shift. That said, as we enter the second quarter, we are finding that traffic has slowed, and we expect sales trends to be challenging until the beginning of the back-to-school selling season. However, we are confident in our merchandise assortment and comfortable with our retail inventory and believe we will be able to drive increased margins.”