Bakers Footwear Group (BKRS.OB) Posts Solid Q4, FY2010 Results

QualityStocks would like to highlight Bakers Footwear Group, Inc. (OTCBB: BKRS), a national, mall-based, specialty retailer of distinctive footwear and accessories for young women. The company’s merchandise includes private label and national brand dress, casual and sport shoes, boots, sandals and accessories. Bakers currently operates 231 stores nationwide. Bakers’ stores focus on women between the ages of 16 and 35. Wild Pair stores offer fashion-forward footwear to both women and men between the ages of 17 and 29.
In the company’s news yesterday,

Bakers Footwear Group announced its financial results for the fourth quarter and full year ended January 29, 2011.

Fourth-quarter revenue was $58.2 million, up 1 percent from $57.6 million reported for the fourth quarter of 2010. Full year 2010 revenues were $185.6 million, up from $185.4 million reported for the comparable 12 month-period ended January 29, 2010.

Gross profit was $20.6 million, or 35.3 percent of net sales, compared to $21.0 million, or 36.4 percent of net sales, in the fourth quarter last year. Full-year gross profit was $49.6 million, or 26.7 percent of net sales, compared to $53.4 million, or 28.8 percent of net sales in fiscal 2009.

Selling, general and administrative expenses were $15.1 million, or 25.9 percent of net sales, compared to $14.8 million, or 25.8 percent of net sales, in the comparable quarter of 2009. Full-year selling, general and administrative expenses were $55.6 million, or 30.0 percent of net sales, compared to $56.8 million, or 30.6 percent of net sales, in fiscal 2009.

Operating income for the quarter was $5.5 million, compared to $6.1 million in the fourth quarter last year. For the full year 2010, operating loss was $7.5 million, compared to an operating loss of $6.5 million in fiscal 2009.

Net income was $5.2 million or $0.54 per diluted share, compared to $5.6 million, or $0.72 per diluted share in the fourth quarter last year. Net loss for full-year 2010 was $9.3 million or $1.14 per share, compared to a net loss of $9.1 million, or $1.24 per share in fiscal 2009.

Peter Edison, chairman and CEO of Bakers Footwear Group, said profitability in the fourth quarter is attributable to strong comparable store sales and a nearly 10 percent increase in its multi-channel sales.

“The year included progress toward our key initiatives to increase sales and position our company for improved long term operating performance. To this end, we continued our fashion leadership in footwear, which is demonstrated by the achievement of our third consecutive year of positive comparable store sales in 2010,” Edison stated in the press release. “We introduced exclusive brands in our Bakers stores to provide further differentiation in our offerings, which is expected to increase customer loyalty and broaden our consumer reach. We also capitalized on the significant runway that we see ahead to increase our multi-channel sales. At the same time, we continued to tightly manage expenses. Our increased inventory levels at year end reflected the early receipt of spring goods with aging improved from 2009. We also are happy to note that we completed the repayment of our subordinated secured term loan during the fourth quarter.”

About QualityStocks

QualityStocks, based in Scottsdale, Arizona, is a free service that collects data from hundreds of Small-Cap and Micro-Cap online Investment Newsletters into one Daily Newsletter Report. QualityStocks is dedicated to assisting emerging public companies with their investor communication efforts and connecting subscribers with companies that have huge potential to succeed in the short and long-term future.

To sign up for “The QualityStocks Daily Newsletter” please visit www.QualityStocks.net

Please see disclaimer on QualityStocks website: http://Disclaimer.QualityStocks.net

Forward-Looking Statement:

This release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements are inherently uncertain as they are based on current expectations and assumptions concerning future events or future performance of the company. Readers are cautioned not to place undue reliance on these forward-looking statements, which are only predictions and speak only as of the date hereof. Risks and uncertainties applicable to the company and its business could cause the company's actual results to differ materially from those indicated in any forward-looking statements.