Tuesday Morning reduces loss

DALLAS Tuesday Morning reported that, as previously announced, net sales for the third quarter of fiscal 2010 were $172 million compared with $167 million for the quarter ended March 31, 2009, an increase of 3%. Comparable-store sales for the quarter increased 1.6% and was comprised of a 2.9% increase in traffic offset by a 1.3% decrease in average ticket. Net loss for the third quarter was $4.3 million or 10 cents loss per diluted share, compared with a net loss of $6.8 million or 16 cents loss per diluted share for the same period last year.

For the nine months ended March 31, net sales were $627.5 million compared to $613.1 million for the same period ended March 31, 2009, an increase of 2.4%. Comparable-store sales for the nine-month period ended March 31 increased 1% and were comprised of a 2.6% increase in traffic offset by a 1.6% decrease in average ticket. For the nine months ended March 31, the company had earnings per diluted share of 22 cents versus 4 cents for the same period in fiscal 2009.

Kathleen Mason, president and CEO, stated, "Our comparable-store sales continued to trend upward, despite challenging weather early in the quarter surrounding key marketing events, and our balance sheet remains solid."

As previously announced, based upon the above results the company has revised guidance for the full fiscal year ending on June 30. Net sales are expected to be in the range of $819 million to $824 million. Comparable-store sales are expected to be positive in the low single digits and diluted earnings per share is expected to be in the range of 18 cents to 20 cents compared with 0 cents in the prior fiscal year ended June 30, 2009.