New York & Company maintains Q3 loss plans five new stores

New York —New York & Company Inc. maintained an essentially flat net loss in the third quarter of fiscal 2015, even as other financial metrics improved. The retailer reported net loss of $146 million, compared to $147 million the same period the previous fiscal year.

Increased selling, general and administrative expenses, including charges related to headcount reductions, consulting fees and legal and moving expenses that were part of an ongoing business re-engineering project, helped keep New York & Company in the red.

During the third quarter of fiscal year 2015, the company expects to open approximately two New York & Company stores, three new outlet Stores, remodel two New York & Company existing locations, and convert three New York & Company locations to outlet stores, ending the quarter with 509 stores, including 82 Outlet stores.

Net sales rose 4% to $235.7 million from $226.1 million. Same-store sales improved 3.8%.

“The overall quarterly results also were driven by the expansion of our omnichannel capabilities leading to significant growth in e-commerce and by increased traffic marking our fifth consecutive quarter of improved traffic growth,” said Gregory Scott, CEO, New York & Company “We also commenced the implementation of major strategic initiatives that are expected to drive significant efficiencies and cost savings for our company, providing us with a stronger platform from which to implement our growth plans.”

Looking ahead, New York & Co. expects net sales and same-store sales to increase by a low to mid-single-digit percentage in the third quarter of fiscal 2015.