AnnTaylor Stores Corp. reported third-quarter profits increased Friday, but cut its full-year outlook. Net income at the women's apparel retailer increased to $40.8 million ($0.66/share) compared to $39.3.million ($0.54/share) last year. Sales jumped 6.1% to $600.9 million, as more store openings and internet business made up for a 0.4% decline in same-store sales. The average analyst forecasted profits of $0.61/share on $602.1 million of revenue. CEO Kay Krill talked about expectations for the coming quarter: "Traffic trends were particularly soft in the month of October and, notwithstanding the improvement we experienced in early November with the onset of colder weather, we have tempered our outlook somewhat for growth in the fourth quarter." The company lowered its full-year earnings outlook to a range of $2.05-$2.15/share from $2.15-$2.25/share. Shares of the company bounced around in pre-market action, trading 0.35% higher to $31.50 at last check.
Commentary: October Same-Store Sales: Comprehensive Roundup • Eight Value Stock Picks
Stocks to watch: ANN. Competitors: CHS, LIZ, GPS. ETFs: PBJ, RXI
Earnings call transcript: Ann Taylor Stores Corp. Q2 2007