Destination Maternity reported net income of $2.6 Million ($0.42 Diluted EPS) for the second quarter ended Mar 31, compared to a net loss of $1.9 Million (-$0.32 Diluted EPS) in the year-ago period. Net sales rose 0.8% to $131.1 million, while same-store sales decreased 6.5%. Commenting on the results, CEO Ed Krell said “”We continue to make significant progress in improving the profitability of our business, even in the face of a difficult sales environment, while also pursuing initiatives to drive profitable future growth in sales. Our improved earnings performance is driven primarily by our continued cost reduction initiatives and strong merchandise gross margin performance, as well as from the growth in sales of our leased and licensed department relationships and increased Internet sales.”
