Trans World Entertainment Corporation (TWMC)
Q2 2010 Earnings Call Transcript
August 19, 2010 10:00 am ET
Bob Higgins – Chairman and CEO
John Sullivan – EVP, CFO and Secretary
William Myers – Miller Asset Management
Mark Kaufman – Rafferty Capital Market
Tom Spiro – Spiro Capital Management
Good day ladies and gentlemen, and welcome to the second quarter Trans World Entertainment conference call. At this time, all participants are in a listen-only mode. Later we will have a question-and-answer session and instructions will be given at that time. As a reminder, this conference is being recorded.
(Operator instructions) I would now like to introduce your host for today’s conference, Mr Bob Higgins, Chairman & CEO. Mr Higgins, you may begin.
Thank you Nicky. Good morning everyone. On the call with me today are Mike Honeyman, our president & chief operating officer; and John Sullivan, our chief financial officer. Thank you for joining us today as we discuss our second quarter results. We will take questions following our comments.
Total sales in the second quarter decreased 18% to $135.8 million. Comp store sales decreased 2%. Our net loss for the second quarter was $15.8 million or $0.50 per share compared to $17.8 million or $0.57 per share last year. As I mentioned, overall quarter two comp sales declined 2%. Comp sales in music were down 3% for the quarter. US physical TV sales were down 22%. The music category represented 38% of our business, the same as last year.
Video sales increased 3% on a comp basis in quarter two, and for the quarter, the industry was down 9%. The comp increase was driven by the performance of Blue Ray as we are starting to see broad acceptance of the format. Video now represents 42% of our business, up from 41% last year.