Christopher & Banks Q1 profits fall on lower sales

Minneapolis Christopher & Banks Corp. said its first-quarter profit fell to $1.7 million from $11.3 million last year.

Net sales for the quarter ended May 30 fell 23% to $120.4 million from $155.4 million a year earlier, while same-store sales tumbled 24% as tough economic conditions continued to pressure sales.

Although CEO Lorna Nagler expressed disappointment with the company's revenue growth, she said it was able to deliver positive cash flow and earnings, which represented "a meaningful improvement" from the fourth quarter.

She said the company also has made progress by reducing inventory levels and cutting sales, general and administrative expenses, which were trimmed by $7.5 million.