Delinquency rates creep up at Conn's

Despite posting a sales increase in July, Conn's says nearly 10% of its customers are not paying their bills.

"Greater than 60-day delinquency was 9.2% as of July 31, 2015 compared to 8.7% as of July 31, 2014. Greater than 60-day delinquency as of July 31, 2015 increased seasonally compared to the June 30, 2015 rate of 8.9%," saidTheodore M. Wright, Conn’s chairman and chief executive officer.

The retailer also reported $112.2 million in total retail net sales for the month ended July 31, a 12.7% increase compared to the same prior year period. For the three months ended July 31, 2015, total retail net sales were $325.0 million, a 12.7% increase compared to the same prior year period.

Wright attributed the retailer's drop in same store sales to the company's decision to stop selling some products. "Same store sales for the month increased 4% against an increase of 10.7% in July last year. Same store sales increased 3.1% for the second quarter of fiscal 2016. Same store sales were impacted by our decision to exit video game products, digital cameras, and certain tablets."

Conn’s is a specialty retailer currently operating approximately 95 retail locations in Arizona, Colorado, Georgia, Louisiana, Mississippi, Nevada, New Mexico, North Carolina, Oklahoma, South Carolina, Tennessee and Texas.