SECAUCUS, N.J., Jan. 6, 2011 /PRNewswire/ -- Syms Corp (Nasdaq:
SYMS), a leading off-price retailer, announced results today for
its third quarter ended November 27,
2010.
For the third quarter (13 week period) ended November 27, 2010, the Company had a net loss of
$3.3 million ($0.23 per share) as compared to a net profit of
$25.6 million ($1.76 per share) for the quarter ended
November 28, 2009. For the
year-to-date (39 week period) ended November
27, 2010, the net loss was $15.1
million ($1.04 per share) as
compared to a net profit of $15.7
million ($1.08 per share) for
the comparable period last year. Current and prior year
periods included certain one-time items that affect comparability,
including a gain on life insurance proceeds, a bargain purchase
gain associated with the Filene's Basement acquisition and
acquisition costs related to that transaction in the prior year,
and certain restructuring related costs in the current year.
Excluding these one-time items, the Company's adjusted net
loss for the quarter ended November 27,
2010 would have been $1.8
million ($0.12 per share),
compared to last year's adjusted net profit of $0.8 million ($0.05
per share). The adjusted net loss after excluding those items
for the thirty-nine weeks ended November 27,
2010 would have been $12.7
million ($0.88 per share),
compared to last year's adjusted net loss of $14.0 million ($0.96 per share).
Adjusted net profit and loss excluding items that affect
comparability is a non-GAAP measure. The Company believes the
excluded items are not indicative of the recurring performance of
the business and that by providing this supplemental disclosure it
will facilitate a more meaningful comparison of its operating
performance. A reconciliation of net profit and loss as
reported to the adjusted net profit and loss is included as a
schedule in this press release.
Net sales for the fiscal quarter ended November 27, 2010 were $120.7 million compared to $135.2 million for the fiscal quarter ended
November 28, 2009, a decline of
$14.4 million or 11%. For the
year-to-date (39 week period) ended November
27, 2010, net sales increased by $82.4 million or 31% to $344.3 million from $261.9
million last year. The increase in sales was primarily
the result of the acquisition of Filene's Basement in June 2009. Comparable store sales increased
3% in the thirty-nine week period and decreased 6% in the thirteen
week period ended November 27,
2010.
As of November 27, 2010, the
Company owned and operated 48 "off-price" apparel stores located
predominantly on the east coast of the
United States under the Syms and Filene's Basement names.
Each Syms and Filene's Basement store offers a broad range of
first quality, in season merchandise bearing nationally recognized
designer and brand-name labels.
Forward-Looking Statements
Certain information in this press release includes
forward-looking statements (as such term is defined in the Private
Securities Litigation Reform Act of 1995) and information relating
to Syms Corp and its subsidiaries that are based on the beliefs of
Syms' management, as well as assumptions made by and information
currently available to Syms' management. When used in this press
release, the words "anticipate", "believe", "estimate", "expect",
"intend", "plan" and similar expressions as they relate to Syms
Corp and its subsidiaries, identify forward-looking statements.
Such statements reflect the current views of Syms Corp with respect
to future events, the outcome of which is subject to certain risks,
including, among others, general economic and market conditions,
decreased consumer demand for Syms' and Filene's Basement's
products, possible disruptions in Syms' computer or telephone
systems, possible work stoppages or increase in labor costs,
effects of competition, the impact of integrating Filene's
Basement's business and Syms Corp's existing business, possible
disruptions or delays in the opening of new stores or inability to
obtain suitable sites for new stores, higher than anticipated store
closings or relocation costs, higher interest rates and borrowing
costs, unanticipated increases in merchandise or occupancy costs,
and other factors which may be outside the control of Syms Corp.
Should one or more of these risks or uncertainties materialize, or
should underlying assumptions prove incorrect, actual results or
outcomes may vary materially from those described herein as
anticipated, believed, estimated, expected, intended or planned.
Subsequent written and oral forward-looking statements attributable
to Syms Corp or persons acting on its behalf are expressly
qualified in their entirety by the cautionary statements in this
paragraph.
For further information, please contact Davia Temin of
Temin and Company at 212-588-8788.
SYMS
CORP
STATEMENTS
OF OPERATIONS
(in
thousands except per-share amounts)
|
|
|
Thirteen Weeks Ended
|
|
Thirty-Nine
Weeks Ended
|
|
|
11/27/2010
|
|
11/28/2009
|
|
11/27/2010
|
|
11/28/2009
|
|
|
|
|
|
|
|
|
|
|
Net Sales
|
$
120,739
|
|
$
135,159
|
|
$
344,257
|
|
$
261,852
|
|
|
|
|
|
|
|
|
|
|
Gross Profit
|
51,345
|
|
57,868
|
|
142,211
|
|
107,102
|
|
|
|
|
|
|
|
|
|
|
Operating Expenses
|
54,620
|
|
32,080
|
|
164,429
|
|
95,432
|
|
|
|
|
|
|
|
|
|
|
Net Income (Loss)
|
$
(3,315)
|
|
$
25,646
|
|
$
(15,054)
|
|
$15,722
|
|
|
|
|
|
|
|
|
|
|
Net Income (Loss) per share
(basic & diluted)
|
$
(0.23)
|
|
$
1.76
|
|
$
(1.04)
|
|
$
1.08
|
|
|
|
|
|
|
|
|
|
|
Weighted average shares
outstanding (basic & diluted)
|
14,448
|
|
14,593
|
|
14,458
|
|
14,591
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SYMS
CORP
CONSOLIDATED
BALANCE SHEETS
(in
thousands)
|
|
|
11/27/2010
|
|
11/28/2009
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
Current Assets:
|
|
|
|
|
Cash
|
$
3,739
|
|
$
10,997
|
|
Receivables
|
7,810
|
|
36,362
|
|
Merchandise
inventories
|
103,093
|
|
102,830
|
|
Other
current assets
|
22,991
|
|
21,113
|
|
Total current assets
|
137,633
|
|
171,302
|
|
|
|
|
|
|
Property &
equipment
|
120,355
|
|
124,988
|
|
|
|
|
|
|
Other Assets
|
46,041
|
|
27,262
|
|
Total Assets
|
$
304,029
|
|
$
323,552
|
|
|
|
|
|
|
LIABILITIES & SHAREHOLDERS
EQUITY
|
|
|
|
|
|
|
|
|
|
Current Liabilities:
|
|
|
|
|
Accounts
payable
|
$
50,439
|
|
$
66,148
|
|
Accrued
expenses
|
20,529
|
|
15,304
|
|
Other
current liabilities
|
5,320
|
|
5,240
|
|
Total current liabilities
|
76,288
|
|
86,692
|
|
|
|
|
|
|
Long term debt
|
42,977
|
|
32,977
|
|
Other long term
liabilities
|
5,991
|
|
2,073
|
|
|
|
|
|
|
Shareholders' Equity
|
178,773
|
|
201,810
|
|
Total Liabilities and
Shareholders' Equity
|
$
304,029
|
|
$
323,552
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SYMS
CORP
RECONCILIATION OF NON-GAAP
FINANCIAL INFORMATION TO GAAP
(in
thousands except per-share amounts)
|
|
|
Thirteen
Weeks Ended
|
|
Thirty-Nine
Weeks Ended
|
|
|
11/27/2010
|
|
11/28/2009
|
|
11/27/2010
|
|
11/28/2009
|
|
|
|
|
|
|
|
|
|
|
GAAP Net Income
(Loss)
|
$
(3,315)
|
|
$
25,646
|
|
$
(15,054)
|
|
$
15,722
|
|
|
|
|
|
|
|
|
|
|
Transactions affecting
comparability:
|
|
|
|
|
|
|
|
|
Gain on life insurance
proceeds
|
-
|
|
(24,764)
|
|
-
|
|
(24,764)
|
|
Bargain purchase gain on
Filene's acquisition
|
-
|
|
(307)
|
|
-
|
|
(9,714)
|
|
Acquisition costs related
to Filene's acquisition
|
-
|
|
194
|
|
-
|
|
4,762
|
|
Asset impairment
charge
|
1,721
|
|
-
|
|
1,721
|
|
-
|
|
Restructuring
charge
|
831
|
|
-
|
|
2,133
|
|
-
|
|
|
|
|
|
|
|
|
|
|
Total impact of transactions
affecting comparability
|
2,552
|
|
(24,877)
|
|
3,854
|
|
(29,716)
|
|
|
|
|
|
|
|
|
|
|
Income tax effect
|
1,037
|
|
-
|
|
1,548
|
|
-
|
|
|
|
|
|
|
|
|
|
|
Net impact of transactions
affecting comparability
|
1,515
|
|
(24,877)
|
|
2,306
|
|
(29,716)
|
|
|
|
|
|
|
|
|
|
|
Adjusted Net Income
(Loss)
|
$
(1,800)
|
|
$
769
|
|
$
(12,748)
|
|
$
(13,994)
|
|
|
|
|
|
|
|
|
|
|
GAAP Net Income (Loss) per share
(basic & diluted)
|
$
(0.23)
|
|
$
1.76
|
|
$
(1.04)
|
|
$
1.08
|
|
|
|
|
|
|
|
|
|
|
Adjusted Net Income (Loss) per
share (basic & diluted)
|
$
(0.12)
|
|
$
(0.05)
|
|
$
(0.88)
|
|
$
(0.96)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CONTACT: Davia Temin of Temin and
Company at 212-588-8788 for SYMS CORP.
SOURCE Syms Corp