NEW YORK ( TheStreet) -- Jones Apparel ( JNY) reported an 11% jump in third-quarter profit, even as sales remain weak.

During the quarter, the owner of Nine West and Jones New York earned $30.4 million, or 36 cents a share, compared with $27.3 million, or 33 cents, in the year-ago period.

Excluding severance costs from layoffs earlier in the year and other items, the company actually earned 46 cents a share, significantly higher than the 28 cents analysts had expected.

But revenue still slipped 11% to $855.7 million from $964.7 million last year.

The company has slashed inventory by 24% and closed 69 underperforming stores. Management says it is on track to shutter another 265 stores between this year and next.

As a result of the closures, Jones expects to improve results by $4 million in 2009, $16 million in 2010 and $22 million in 2011.

-- Reported by Jeanine Poggi in New York

Follow TheStreet.com on Twitter and become a fan on Facebook.

Copyright 2009 TheStreet.com Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

More from Earnings

Financing History: How Citigroup Grew Into a Banking Powerhouse

Financing History: How Citigroup Grew Into a Banking Powerhouse

How to Handle Market Volatility According to This Financial Adviser

How to Handle Market Volatility According to This Financial Adviser

How to Start Investing at Any Age

How to Start Investing at Any Age

There Is No 'Smoking Gun' With Blue Apron

There Is No 'Smoking Gun' With Blue Apron

What the Government Shutdown Means for Retail

What the Government Shutdown Means for Retail