Tuesday Morning 2Q revenue gauge up 5.6 pct
Tuesday Morning posts 5.6 pct increase in 2nd-qtr revenue at stores open at least a year
DALLAS (AP) -- Tuesday Morning Corp. said Tuesday that its fiscal second-quarter revenue at stores open at least a year rose 5.6 percent, as customers spent more money when they visited its stores.
Its shares rose more than 5 percent in morning trading to their highest level in almost three years.
The Dallas-based discount retailer said the growth included a 5.3 percent increase in the average amount spent per visit and a 0.3 percent increase in store traffic. The metric is a key measure of a retailer's health, because it excludes sales at stores that recently opened or closed.
Total sales for the quarter ended Dec. 31 rose 4.5 percent to $285.3 million from $273.1 million a year ago, Tuesday Morning said.
For the first six months of the year, revenue at stores open at least a year increased 3.2 percent, while total sales also rose 3.2 percent to $458.1 million from $443.7 million.
The company said the second-quarter sales results reflect healthy demand for textiles and cool weather merchandise, a strong customer response to its November and December events, along with stronger company-wide merchandising strategies.
Tuesday Morning added that it plans to take a one-time charge in its fiscal second quarter for strategic adjustments, mainly related to the value of its inventory, but didn't say how large it would be.
Its shares rose 33 cents, or 5 percent, to $6.94 after hitting $7 earlier in the session, its highest level since March 2010.
