In May of this year, the Hartford, Connecticut-based chain announced plans to close 40 stores in 2022 following unfavorable first-quarter results. In March, overall sales were down by 35% compared to the previous year, president and CEO Jane Elfers reported in a May press release.
The retailer said the decrease in net sales compared to Q1 2021 was “primarily due to lapping the COVID-19 stimulus relief program last year, the impact of unprecedented inflation on our customer, prolonged unseasonably cold temperatures through the end of the quarter in our major markets, and the impact of permanent store closures.”
Second-quarter results also fell short, the store reported in August, with net sales decreasing $33.0 million, or 8.0%, to $380.9 million in the three months ending July 30, 2022, compared to $413.9 million in the three months ending July 31, 2021.
The retailer claims this further decrease is due in part to “the impact of a slowdown in consumer demand resulting from the unprecedented inflation.”
The company ended the second quarter of 2022 with 658 stores, a decrease of 8% compared to the prior year and a decrease of 31% compared to the same time period in 2019, when the retailer operated 961 stores.
Seven stores were closed during the second quarter, and a total of 541 have permanently closed since 2013.
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