Circuit City Rebounds During the Holidays5 Jan, 2007 By: Erik Gruenwedel
Just weeks after posting an unexpected third quarter (ended Nov. 30) loss of $16 million, Circuit City Stores Inc. announced that net sales for the month of December rose 5.9% to $2.1 billion compared to $1.98 billion during the same period last year.
A notable bright spot in December was entertainment, which saw a double-digit comparable same-store (open at least a year) sales increase, driven by double-digit comp sales increases in video game hardware and software, and a single-digit comp sales increase for DVD movies.
Same-store comparative music sales dropped by double-digit percentage points.
Of note was the double-digit percent same-store comparable sales increase in flat-panel televisions — a reversal from last quarter when steep price declines for medium and large LCD TVs exceeded 50% of Circuit City's projections.
Plasma TVs prices also dropped three times company expectations.