Foothill Ranch-based teen clothing retailer Wet Seal Inc. reported its first quarterly net profit in years on Friday.
Wet Seal reported $4.4 million in net income for the three months ended July 29, versus a loss of $11.7 million a year ago.
The company has lost money for the past two years as it works through a turnaround that started in 2004.
Sales rose 2.5% to $129.5 million. Sales at stores open at least a year fell 2.2% in the quarter.
Business in May and June was “disappointing,” Chief Executive Joel Waller said, but offset by a strong July.
The company runs the Wet Seal chain of clothing stores for teens and Arden B. for women.
The company said it expects earnings for the current quarter of about $5.6 million to $6.9 million. Sales could come in at $138 million and $140 million.
