Belk Sales up. Profit Squeezed in Q1

摘要

Charlotte, N.C. - Family-owned Belk department stores saw a tidy sales increase during the first quarter, but promotional activity contributed to lower year-over-year net income. Net income for the quarter ended May 4 tumbled 32% to $28.2 million. In addition to lower merchandise margins, the bottom line was impacted by high expenses associated with strategic investments. "While those investments will increase our expense in the short term, we expect them to generate strong future returns," said Tim Belk, chairman and ceo.