Duckwall-ALCO profit down in Q4

Abilene, Kan. Duckwall-ALCO Stores on Friday reported a fourth-quarter net loss of $715,000. The company recorded net earnings of $1.0 million from the same period the year before.

The company said profit was impacted by a charge of $1.3 million for a store-transformation project, which will be completed in June.

Net sales from continuing operations for the fourth quarter, excluding the company’s two fuel centers, increased 2.0% to $138.5 million, on an adjusted 13-week period for the fourth quarter of the prior fiscal year.

Adjusted same-store sales decreased 3.3%, excluding the company’s two fuel centers, improving from the 6.3% decrease in the third quarter.

Net loss for fiscal 2009 was $5.0 million, compared with a net loss of $224,000 for the prior fiscal year. Negatively impacting the performance of the company in fiscal 2009 were $2.2 million in store-transformation expenses, $1.9 million in executive and staff severance and a $1.3 million inventory review initiative charge offset by reduced asset-impairment expenses of $800,000.

Net sales from continuing operations, excluding the company’s two fuel centers, year-to-date increased 3.9% to $478.4 million, adjusted for the 53rd week in the prior year.

Adjusted same-store sales decreased 5.1%, excluding the company’s two fuel centers.