Zale returns to profit in Q2

DALLAS Zale Corp. announced that for the second fiscal quarter ended Jan. 31, it had net earnings of $6.7 million, or 21 cents per share, compared with a net loss of $31.8 million, or $1.00 per share, in the comparable period in fiscal 2009.

Same-store sales during the second fiscal quarter decreased 11.2%, compared with a decrease of 18.1% during the 2009 period.

“We have made progress year over year in gross margin, expenses, earnings per share and inventory levels,” commented Theo Killion, president and interim CEO. “Our direct competitors have demonstrated that the market for mid-tier jewelers has stabilized. It is critical that we focus on retail fundamentals and the core diamond business while we leverage our brand equity, capabilities and personnel to improve top line volumes,” added Killion.