News Releases
Brookstone Announces First Quarter 2002 Results
NASHUA, NH, May 9, 2002 -- Brookstone, Inc. (Nasdaq:BKST) today announced sales for the first quarter ended May 4, 2002.
Total sales for the thirteen-week period ended May 4, 2002 increased 3.0% to $56.6 million compared to $55.0 million for the first quarter of last year. Same store sales for the comparable thirteen-week period decreased 3.3%. Direct marketing sales for the first quarter decreased 3.4%.
Michael Anthony, Chairman, President and Chief Executive Officer, commented, "We are pleased with our same store sales trend which has continued to improve substantially since the third quarter of last year. This was evident in both our airport and traditional stores. In the Direct Marketing channel, we have experienced substantial improvement in our sales per book which is reflective of our plan to reduce circulation and increase profitability in this segment."
Mr. Anthony continued, "New product as a percent of total sales continued to rise and is a key factor in our improved sales trend. Our first quarter inventory position is excellent as a result of strong inventory management, and we anticipate that this will result in an over 8% reduction in our inventory levels as compared to the first quarter of last year."
Mr. Anthony further commented, "As a result of our sales performance, we expect the loss in the first quarter to be less than previously reported and to range between a loss of $0.77 to $0.79 per diluted share. We believe the second quarter loss will range between $0.17 to $0.23 per diluted share as compared to last year's second quarter loss of $0.33 per diluted share. We feel we are on track to meet our earnings target for the year of $1.20 to $1.25 per diluted share."
Brookstone, Inc. is a nationwide specialty retailer that operates 248 stores in 39 states, Puerto Rico and the District of Columbia. Typically located in high-traffic regional shopping malls and airports, the stores feature unique and innovative consumer products. The Company also operates a direct marketing business that consists of three catalogs; The Brookstone Catalog, Hard-to-Find Tools and Gardeners Eden catalog; as well as an e-commerce web site at http://www.Brookstone.com.
Statements in this release which are not historical facts, including statements about the Company's confidence or expectations, earnings, anticipated operations of its e-commerce sites and those of third-party service providers, and other statements about the Company's operational outlook, are forward-looking statements subject to risks and uncertainties that could cause actual results to differ materially from those set forth in such forward-looking statements. Such risks and uncertainties include, without limitation, risks of changing market conditions in the overall economy and the retail industry, consumer demand, the effectiveness of e-commerce technology and marketing efforts, availability of products, availability of adequate transportation of such products, and other factors detailed from time to time in the Company's annual and other reports filed with the Securities and Exchange Commission. Words such as "estimate," "project," "plan," "believe," "feel," "anticipate," "assume," "may," "will," "should" and similar words and phrases may identify forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date thereof. The Company undertakes no obligations to publicly release any revisions to these forward-looking statements or reflect events or circumstances after the date hereof.
Contacts: Philip Roizin, EVP of Finance and Administration (603) 880-9500 Robert Fusco, Investor Relations Brookstone (603) 880-9500