Jo-Ann Stores Sales Up in First Quarter

Jo-Ann Stores, Inc. reported their first quarter 2011 sales today, and the company continued their strong performance from the end of 2010.

For the quarter of fiscal 2011 which ended May 1st, 2010, net sales increased 4.4% to $480.3 million compared to $460.0 million for the same period in fiscal 2010. Same-store sales increased 4.1% versus a same-store sales increase of 1.0% for the first quarter last year. Traffic increased 2.9% and average ticket increased 1.2%.

Jo-Ann was led by the performance of its large-format stores. Net sales for the quarter in those stores increased 3.9% to $257.2 million compared to the same period last year. Same-store sales for the large-format stores increased 1.9% compared with a decrease of 0.6% in the first quarter last year.

The company's small-format stores were also strong contributors, with net sales in those stores increasing 4.9% to $212.8 million compared to the same period last year. Same-store sales in these small-format stores increased 6.9% compared with an increase of 3.0% in the first quarter last year.

Jo-Ann Stores' sales online through Joann.com also grew significantly in the first quarter, up 8.4% to $10.3 million compared to the same period last year.

Same-store sales in the sewing segment were up 5.5% over the same period last year. Same-store sales in non-sewing categories were up 3.2%, which the company attributes to growth in core craft merchandise categories and strong seasonal category performance.

The company's stock (NYSE: JAS) closed down $2.31 (5.21%) to $42.07 on the news. However, the entire market dropped significantly on the day, with the Dow closing down 3.2% for the day.

Jo-Ann Stores was also recently named by Forbes magazine as one of America's 100 most trustworthy companies based on their accounting, corporate governance, and management practices. The Forbes list was based on the results of a survey conducted for the magazine by Audit Integrity.