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Ross Gives Mixed Forecast for Q1 of 2014
Off-pricer Ross Stores Inc. announced results for its fourth quarter and fiscal 2013 results on Feb. 27, and Michael Balmuth, vice chairman and chief executive officer for the Dublin, Calif.–based Fortune 500 company, gave a mixed forecast for Ross’ first quarter for its 2014 year.
For its fourth quarter of 2013, sales rose 2 percent and net sales were $218 million, compared with net sales of $236 million reported in the same quarter in 2013. The company announced that its fiscal 2013 revenues were $10.2 billion.
Balmuth said the fourth-quarter results were in line with the company’s guidance. However, he also forecast possible turbulence in the upcoming quarter. “As we enter 2014, in addition to our own challenging multi-year sales and earnings comparisons, we also continue to face ongoing uncertainty in the macroeconomic and retail climates. While we remain well-positioned as an off-price retailer, these likely headwinds have prompted us to stay somewhat cautious in our outlook,” he said in a statement. Ross forecast that same-store sales will grow 1 percent to 2 percent for its fiscal 2014 year.
Ross’ real estate news was more bullish than its financial news. It announced that it will be opening at least nine new stores in March. On March 8, the off-pricer is scheduled to open its first store in Oakland, Calif. On the same day, it is scheduled open five stores in Southern California. The new Southern California locations will be in the Azalea Shopping Center in South Gate, Ontario Gateway Plaza in Ontario, in the Pico-Union neighborhood near downtown Los Angeles and Rio Rancho Towne Center in Pomona. It will be relocating its Northridge store to the Northridge Fashion Center retail center from its former location near the corner of Nordhoff Street and Reseda Boulevard.
The company also is scheduled to open four stores in Florida in March. It operates 1,146 Ross Dress for Less stores and 130 dd’s Discounts stores.
