JCPenney Q1 income up 140%

PLANO, Texas JCPenney reported that earnings per share for the quarter ended May 1, were 25 cents compared with 11 cents per share in last year's first quarter. Net income for this year's first quarter increased 140% to $60 million versus $25 million last year.

"The first quarter marked a solid start to the year for JCPenney as customers responded well to the steps we have taken to reinforce our style authority with fashion sensibility, head-to-toe looks and promotions that made what we had to offer highly affordable for America's families. At the same time, the disciplined approach to managing our business allowed us to deliver strong gross margins, even as we work to increase our top line," said Myron Ullman, III, chairman and chief executive officer of JCPenney.

Total sales in the first quarter increased 1.2% compared with last year, while comparable-store sales increased 1.3%. Six of the seven merchandise divisions had sales gains compared with last year's first quarter, with the strongest merchandise results in men's, shoes and handbags, and children's, the company reported. Geographically, the best performance was in the Southeast region of the country, according to JCPenney.

For the second quarter 2010, the company said it is expecting comparable-store sales to increase between 2.5% to 3%. Earnings per share are expected to be in the range of 10 cents to 13 cents per share.

For the full year 2010, JCPenney said it is expecting earnings per share to be approximately $1.64 per share.