Pep Boys records $33.2 million net loss in 4Q
Pep Boys-Manny, Moe & Jack posted a net loss of $33.2 million on revenues of $465.5 million for the fourth quarter ended Jan. 31, 2009. That compares to a net loss of $20.4 million on sales of $517.6 million for the same period the previous fiscal year.
For fiscal 2008, the company recorded a net loss of $30.4 million on revenues of $1.9 billion. In fiscal 2007, Pep Boys had a net loss of $41 million on sales of $2.1 billion.
Pep Boys says decreased consumer spending during the fourth quarter resulted in "a weak holiday season and the deferral of tire purchases." However, early results for fiscal 2009 are positive: "Sales trends have greatly improved from the 10.1% decline the company experienced in the fourth quarter of fiscal 2008 to flat for the first quarter to date of fiscal 2009," according to the company.
"We now have two promotional events under our belt demonstrating how our new advertising, coupled with improved store execution, is beginning to pay off," says CEO Mike Odell.
"Our 'Does Everything. For Less.' branding is resonating with our customers, and our customer-focused process improvement and training is helping our associates to deliver a more satisfying customer experience."