DENVER, July 15 /PRNewswire-FirstCall/ -- Ultimate Electronics, Inc.
(Nasdaq: ULTE) today discussed its interim sales results for the second
quarter ending July 31, 2004 and revised its sales expectations for the second
quarter and the second half of the fiscal year ending January 31, 2005.
On June 3, 2004, Ultimate Electronics provided revised comparable store
sales expectations for the second quarter and second half of the fiscal year
ending January 31, 2005, estimating comparable store sales to improve to
negative low-single digits in the second quarter and positive mid-single
digits in the second half of fiscal 2005.
The Company's comparable store sales for the second quarter through July
11, 2004 are down approximately 8%, and its total sales for the
quarter-to-date are flat compared to the same period in the prior year.
As a result, the Company expects comparable store sales for the quarter
ending July 31, 2004 to be down 7% to 9% and comparable store sales for the
second half of the fiscal year ending January 31, 2005 to be flat to slightly
positive at between 0% and 2%. The Company plans to update its earnings
guidance when it reports earnings for the quarter on August 26, 2004.
David J. Workman, President and Chief Executive Officer, stated, "Store
traffic is taking longer to re-establish than we had originally planned. As a
result, we are reducing our sales expectations for the second quarter and the
second half of fiscal 2005. We continue to expect improved sales performance
in the second half, in part because we expect sales in the television
category, which has been our strongest performing category in the first half
of this year, to account for a larger percentage of our sales in the second
half, and in part because we will not be contending with the system
integration issues that we experienced in the second half of last year. We
continue to fine-tune our message to the consumer and optimize our cost
structure in light of current sales trends. With six months into the
implementation of our turnaround strategy, we remain focused on improving our
market position and long-term operating results."
Ultimate Electronics is scheduled to issue a press release covering its
sales results for the second quarter on Thursday, August 5, 2004. Ultimate
Electronics is scheduled to release its second quarter earnings results on the
morning of Thursday, August 26, 2004 and to hold a conference call at 11:00
a.m. Eastern Time on August 26, 2004 to discuss second quarter results.
The statements made in this news release, other than those concerning
historical financial information, are forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. Forward-
looking statements are made based upon management's current expectations and
beliefs concerning future developments and their potential effects upon the
company. These forward-looking statements include statements regarding:
expected sales for the second quarter and second half of fiscal 2005; improved
sales performance from strong television sales; the fine-tuning of the message
to the consumer; the optimization of the Company's cost structure; market
position; and long term results. Actual results may differ materially from
those included in the forward-looking statements due to a number of factors,
including, but not limited to: changes in general economic conditions; success
of sales promotions and marketing efforts; shifts in merchandise mix;
activities of competitors; terrorism and acts of war; consumer acceptance of
new technologies; risks associated with the operation of our new management
information system; the number of new home starts and closings; and other risk
factors identified in the company's Annual Report on Form 10-K for the fiscal
year ended January 31, 2004, filed with the Securities and Exchange
Commission. There can be no assurance that future developments affecting the
company will be those anticipated by management. The company disclaims any
obligation to update or revise any of the forward-looking statements that are
in this news release.
About Ultimate Electronics, Inc. (Nasdaq: ULTE)
Ultimate Electronics is a leading specialty retailer of home entertainment
and consumer electronics products in 14 states. The company operates
65 stores, including 54 stores in Arizona, Idaho, Illinois, Iowa, Kansas,
Minnesota, Missouri, Nevada, New Mexico, Oklahoma, South Dakota, Texas and
Utah under the trade name Ultimate Electronics(R) and 11 stores in Colorado
under the trade name SoundTrack(R). In addition, the company operates Fast
Trak Inc., an independent electronics repair company and a wholly owned
subsidiary of Ultimate Electronics. During the past two years, the company
received numerous industry awards including Audio Video International's 2003
"Top 10 Audio/Video Retailer of the Year."
For further information, please contact David A. Carter, Chief Financial
Officer of Ultimate Electronics, Inc., +1-303-801-4025.
SOURCE Ultimate Electronics, Inc.
 back to top
Company News On-Call:
http://www.prnewswire.com/comp/877054.html
CONTACT:
David A. Carter, Chief Financial Officer of
Ultimate Electronics, Inc., +1-303-801-4025
|
