The western U.S. retailer saw a $356,000 profit in the fourth quarter against a loss of $5,089,000 helped by a big jump in gross margin, although sales slipped 1% to $244,094,000 from $247,101,000 including -0.6% same store sales. Gross margin expanded 310 basis points to 31.6% including 239 b.p. of merchandise margins and the rest from higher distribution costs capitalized into inventory. SG&A was down slightly in dollars and as a percent of sales on lower print advertising spending, despite higher labor costs.

Apparel sales were up mid-single digits, as cold weather in Nov. boosted seasonal sales of outerwear above even ... Log in to view full article.