Coldwater Creek Cites Added Costs for Quarter, Year
Catalog company Coldwater Creek Inc. said yesterday that its earnings for the fourth quarter and fiscal year, which ended Feb. 27, were hindered by increased costs from additional mailings and from investments in infrastructure to handle anticipated growth.The company also said it expected to sell its Milepost Four men's catalog during the first quarter. Coldwater said its core catalog, Northcountry, posted a strong year, partially offset by weak sales from Milepost and from its Spirit of the West women's catalog.
The company said its newest property, Bed & Bath, has shown great promise. Profits for the fourth quarter were basically flat at about $4.92 million, or 48 cents a diluted share, compared with $4.86 million, or 45 cents a share, in the year-ago fourth quarter. Sales for the recent period rose about 9.2 percent to $89.61 million, vs. sales of $82.06 million in the prior-year period. For the year the company said its profits were down about 8.6 percent to $10.69 million, or $1.02 per share, vs. $11.69 million, or $1.10 a share a year ago. Sales for the year grew about 31.8 percent to $325.23 million, vs. $246.7 million in the prior year.
