J.C. Penney Q2 Adj. Loss Narrower Than View; Announces Partnership With ThredUP

(RTTNews) - J. C. Penney Co., Inc. (JCP) on Thursday reported a net loss for the second quarter of $48 million or $0.15 per share, narrower than net loss of $101 million, or $0.32 per share in the same period last year.

Adjusted net loss was $56 million or $0.18 per share, compared to adjusted net loss of $120 million or $0.38 per share, last year.

Total net sales for the quarter decreased 9.2 percent to $2.51 billion from $2.76 billion in the same period last year.

On average, analysts polled by Thomson Reuters expected the company to report loss of $0.31 per share for the quarter on sales of $2.69 billion. Analysts' estimates typically exclude special items.

Comparable sales decreased 9.0 percent for the quarter. Excluding the impact of the Company's exit from major appliance and in-store furniture categories, comparable sales decreased 6.0 percent.

Looking ahead to fiscal 2019, J.C. Penney expects comparable sales to decline in a range of 7.0 percent to 8.0 percent, and comparable sales, excluding the impact of the company's exit from major appliances as well as in-store furniture categories to decrease in a range of 5.0 percent to 6.0 percent.

The company forecasts full-year adjusted EBITDA in a range of $440 million to $475 million and reaffirmed its expectation of positive free cash flow for the year.

J.C. Penney also said that 30 of its stores will soon be offering a selection of second-hand women's clothing and handbags from thredUP, an online consignment store featuring like-new styles from leading designers and brands.

The thredUP assortment will be branded in a 500-to-1,000 square feet presentation in select markets starting this week and will offer seasonal array of resale handbags and women's fashion.