Pier 1 posts smaller Q2 loss on lower expenses

Fort Worth, Texas Pier 1 Imports reported a smaller second-quarter loss on Thursday, helped by reduced expenses and lower inventories.

The company reported that it lost $15.8 million for the period ended Aug. 29 compared with a loss of $30.2 million a year earlier.

Operating costs and expenses declined to $302 million from $348.9 million, while inventories were $43 million less than a year ago.

Sales fell 11% to $286.7 million from $320.5 million, but beat Wall Street's estimate of $281.9 million.

Same-store sales dropped 7.6% in the quarter due to declining traffic.

Pier 1 had 1,061 North American stores at quarter's end.

The company plans to close about 50 stores during the fiscal year, down from its initial estimate of 125 closings. It has shuttered 31 stores for the year to date and anticipates closing another 19 locations in January and February.