Foothill Ranch-based mall retailer Wet Seal Inc. reported a decline in October sales that was better than what analysts expected and said it sees profits for the recently ended quarter to come in higher than earlier forecast.
Wet Seal, which runs 522 stores selling clothes for teen girls and young women, reported a 0.7% decline in October same-store sales from a year earlier.
Analysts had been looking for a 3.8% drop in sales at stores open for at least year.
The company’s dominant Wet Seal chain, which sells clothes for teen girls, saw a 0.7% drop on October same-store sales.
Wet Seal’s smaller Arden B. chain, which sells clothes for young women, was down 0.9% for the month.
Total sales rose 4% to $42.7 million.
The company saw strong sales toward the end of October, according to Chief Executive Ed Thomas.
Wet Seal said it now expects profits for the three months through October coming in at the high end of its forecast.
In early October, the company forecast a quarterly profit of $1 million to $3 million. Excluding charges, the company now expects a profit of $4 million.
Analysts on average had been expecting a profit of $3 million.
