Jo-Ann Stores reports 3Q earnings growth

HUDSON, Ohio Jo-Ann Stores today reported that net earnings for its third quarter ended Nov. 3 were $8 million or 32 cents per diluted share, compared with net earnings of $0.1 million, or 0 cents per share in fiscal 2007.

Net sales for the third quarter increased 4% to $480.2 million from $461.9 million in the prior year. Same-store sales increased 2.4% versus a decrease of 5.4% for the same period last year.

"I am pleased with our ongoing improvement as we deliver on our strategic plan and capitalize on competitive dynamics in the fabric industry. Despite a weakening economy, during the third quarter we drove same-store sales growth, margin expansion and a strong earnings per share increase," said Darrell Webb, chairman, president, and ceo. "We are making progress on our initiatives to improve the customer shopping experience and enhance our marketing and merchandising. As we continue to execute our plan, including the implementation of a more disciplined approach to new store site selection and store remodels, we will be able to deliver sustainable sales and earnings growth over the long term.” 

Net sales for the nine-month period ended Nov. 3 were $1.30 billion versus $1.25 billion in the prior year. Same-store sales increased 3.5% for the nine-month period versus a 5.8% decrease for the same period last year.

For the full year 2008, the company said expects earnings per diluted share to be in the range of 55 cents to 65 cents, as compared to its previous guidance of 60 cents to 70 cents per share.