JC Penney Co Inc. reported Tuesday its severe drop in sales the last quarter. The store's home-goods section failed to attract more customers. However, JC Penney reveals that sales for the back-to-school season was so far encouraging.
The retailer disclosed that sales showed improvement in each month of the last quarter. Sales at JC Penney's stores fell to 11.9% last quarter even when the management was forced to use a promotions-heavy strategy to recoup the sales drop.
Last quarter was the first full period under CEO Myron Ullman since his return to JC Penney. Ullman was faced with fixing the damage incurred by former CEO Ron Johnson who resigned after the business experienced a 25% decrease in sales last year.
Johnson attempted to increase JC Penney's sales by adding fancier product brands to its new home section. His efforts, however, turned futile when it failed to lure more customers as anticipated.
JC Penney lost USD 1.17 per share, which was USD 0.11 worse than expected rates estimated by analysts. Its shares were up 3% to USD 13.61 in premarket trading Tuesday.
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