Children's Place reports lagging sales and profits in Q3

Secaucus, N.J. -- The Children's Place Retail Stores reported Thursday that net income for the third quarter dropped to $31.2 million, compared with net income of $38.2 million in the prior year.



Net sales declined 2.1% to $453.4 million, compared with $463.2 million in the third quarter of fiscal 2009.



Same-store sales decreased 5.7%.



"As we announced mid-October, third quarter sales and profits for The Children's Place were impacted by poorly performing fashion in the back-to-school line as well as unseasonably warm temperatures," said Jane Elfers, president and CEO. "While short-term market conditions remain challenging for our business, we are making significant progress on our longer-term growth initiatives, which we believe will lead to enhanced sales and profitability in 2011 and beyond."



During the third quarter of fiscal 2010, the company opened 28 stores. It currently operates 1,005 stores.