Same-store sales at Kirkland’s Inc. (KIRK) rebounded in the fourth quarter 2011 as it went up 1.4% for the 13 weeks ended January 28, 2012, compared to a decline of 7.9% experienced in the previous year. However, on a year-to-date basis, same-store sales went down 4.0% compared with a 0.5% decrease a year ago.
E-Commerce, which is being considered as a base for same store sales since December 2011, contributed 80 basis points to the overall same store sales for the fourth quarter.
Net sales for the fourth quarter 2011 climbed 6.4% year over year to $148.5 million, on the back of strong management measures undertaken by the company. For the fiscal year 2011, net sales climbed 3.5% to $429.7 million from $415.3 million in the previous year.
Kirkland is operating 309 stores as of year end January 28, 2012. During the fourth quarter, the company opened 11 stores and closed 3 of them.
In January 2012, the home d?cor and gifts retail giant inaugurated its fourth Jacksonville area store at the Markets at Town Center. The store is 7,143-square-foot and located at 4870 Big Island Dr.
In the fourth quarter 2011, the company repurchased 1,194,992 shares of common stock for a total amount of $15.4 million, or an average price of $12.90 per share.
Kirkland is scheduled to report its earnings for the fourth quarter before the market opens on Thursday, March 8, 2012. Based on the sales for the fourth quarter 2011, Kirkland expects its earnings to be in the range of 88 cents to 91 cents per diluted share for fiscal 2011.
Kirkland, which competes with Bed Bath and Beyond Inc. (BBBY), operates 309 stores in 30 states. Kirkland holds a Zacks #3 Rank, which translates into a short-term ‘Hold’ rating. Currently, we maintain a long-term Underperform recommendation on the stock.
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