Charming Shoppes Inc., which owns plus-size clothing chains, said Thursday that it returned to a first-quarter profit, even though its sales decreased because it closed dozens of stores.
For the three months that ended on May 1, the Bensalem-based owner of Lane Bryant, Fashion Bug and Catherines stores reported net income of $3.9 million, or 3 cents per share. That compares with a previous net loss of $6.6 million, or 6 cents per share, during the same period last year. Each period included restructuring charges.
Excluding those items, Charming Shoppes' adjusted operating income was $8.4 million, compared with adjusted operating income of $7.4 million.
Revenue fell 6.2 percent to $504.8 million, down from $538.1 million. But the company said much of that decrease came from a decision to shut 144 stores during the year.
Analysts surveyed by Thomson Reuters expected the company to earn 3 cents per share.
Revenue from stores open at least a year fell 2 percent. That's a key retail industry measure that tracks revenue from established stores instead of newly opened ones.
Charming Shoppes has 2,128 retail stores in 48 states.
Shares were priced at $4.47, up 2 cents, in early-afternoon Nasdaq trading.