Cato December sales increase 9 percent

The Cato Corporation reported sales for the five weeks ended January 2, 2016 of 118.5 million dollars, a 9 percent increase from sales of 109.2 million dollars for the five weeks ended January 3, 2015. Same-store sales for the month increased 6 percent.

Sales for the eleven months ended January 2, 2016 were 948.5 million dollars, a 3 percent increase from sales of 923 million dollars for the eleven months ended January 3, 2015. The company's year-to-date same-store sales are flat to last year.

"December same-store sales results were above our expectations and original guidance," stated John Cato, Chairman, President, and Chief Executive Officer, adding, "We now expect that fourth quarter earnings per diluted share will be within the range of 0.39 dollar to 0.43 dollar, versus our original guidance of 0.35 dollar to 0.39 dollar and 0.33 dollar last year. The company's estimate for full year earnings per diluted share is now in the range of 2.35 dollars to 2.39 dollars versus our most recent guidance of 2.31 dollars to 2.35 dollars and 2.15 dollars last year."

The company closed one store during December. As of January 2, 2016, it operated 1,372 stores in 32 states, compared to 1,345 stores in 32 states as of January 3, 2015.