Orchard Supply Hardware sees Q2 sales decline
San Jose, Calif.-based Orchard Supply Hardware reported second-quarter sales of $194.1 million for the quarter ended July 28, down 1.2% from the same quarter last year.
The company also posted a second-quarter net loss of $26.7 million, compared with earnings of $3.9 million in the second quarter of 2011.
Comp-store sales, however, inched up 0.9%.
“We are pleased to have generated positive comp store sales in an economically challenging and highly competitive promotional environment,” said CEO Mark Baker. “We continue to make progress against our initiatives to reposition the business, strengthen our financial condition and drive profitable long-term growth.”
The company is on track to open three new stores and remodel six Orchard locations in 2012. As of July 28, the company had 88 stores, all in California.
Baker said the company conducted a sale-leaseback transaction on six stores and it is exploring options to refinance long-term debt.