Dillard's 2Q Net Income Up 76 Percent

Dillard's Inc. of Little Rock said Thursday that second-quarter net income rose 76 percent, and earnings per share rose 97 percent.

The department store chain said quarterly net income reached $31 million or 63 cents per diluted share, compared with $17.6 million or 32 cents per share during the same quarter last year.

Included in the second quarter of 2011 was a $2.1 million net pretax gain -- or $1.4 million after-tax -- relating to the sale of an interest in a mall joint venture. The increase in earnings per share came after the company repurchased $134.6 million, or 2.1 million shares, of its Class A Common Stock.

Dillard's also report same-store sales rose 3 percent. 

"Continuing on the momentum of a successful first quarter, we are proud to report a 97 percent increase in second quarter earnings per share," Dillard's CEO William T. Dillard II said. "Our 3 percent sales increase combined with gross margin improvement and control of our expenses enabled us to report a notable improvement in operating results today."

In all, Dillard's reported total quarterly revenue of $1.48 billion, up about 3 percent from the same quarter last year. Those results include revenue from CDI Construction of Little Rock, which the retailer owns.

Without CDI revenue, total merchandise sales were were $1.46 billion, up 2 percent from $1.43 billion in the same quarter last year.

During the quarter, Dillard's announced it would close its 85,000-SF Southpark Mall location in Colonial Heights, Va. It already closed its 70,000-SF Hutchinson Mall location in Hutchinson, Kan.

As of July 28, Dillard's operated 285 stores and 18 clearance centers in 29 states, with total square footage of 52.4 million.