Revenue fell less than 1 percent to
Sales for the quarter in stores open at least a year -- an important gauge of retailer health -- dropped 4.4 percent. A shopping mall fixture, Claire's is struggling with tight consumer budgets and increasing competition from the Internet and other bricks and mortar retailers. Claire's target market is young girls ages 10 to 14.
"While we have some great initiatives in place, overall the first quarter was disappointing," said CEO
In a conference call with analysts, Lafon said she would disclose more about the company's strategies during the second quarter earnings call later this year.
The company blamed the wider loss on the shutdown of their Chinese operations, a drop in sales in stores open at least a year and higher rent.
The company has seen some early success and increased spending in stores with its new
But it's too early to analyze the results, she added. The market was particularly rough in the retailer's 1,881 North American stores, where sales in shops open at least a year dropped 5.5 percent. Their European market did a bit better, with sales dropping 2.4 percent in its 1,187 locations.
Company officials have not given a timeline for Claire's IPO. Now owned by private equity firm
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