Bombay Announces October and Third Quarter Revenue

Furniture World Magazine

The Bombay Company, Inc. reported that revenue for the four-week period ended October 30, 2004 declined 4% to $42.7 million compared to $44.4 million for the four-week period ended November 1, 2003. Same store sales for stores opened more than one year declined 13%. For the quarter ended October 30, 2004, total revenue declined 7% to $126.4 million compared to $135.4 million while same store sales declined 18%. For the year-to-date period, total revenue declined 3% to $372.5 million from last year's $385.5 million while same store sales declined 15% year-to-date compared to a 21% increase last year. James D. Carreker, Chairman and Chief Executive Officer stated, "Same store sales declines for October were within our expected range. Overall, the third quarter was more difficult than originally anticipated. Traffic and the average transaction size have been down from last year during a quarter when consumer confidence has fallen. "We have been pleased with the early response to our Christmas merchandise. We expect new product to continue to arrive in the stores through November as we ramp up for holiday selling. Plans are to continue to invest in advertising during the month to drive early holiday shopping and maximize our margin opportunity. We are expecting demand to improve as gift giving becomes the customers' focus," concluded Mr. Carreker. During the third quarter, the Company opened 28 stores including 7 BombayKIDS stores in the combination format and closed 7 stores ending the quarter with a total of 493 locations including 399 Bombay stores, 47 BombayKIDS stores, and 47 outlet stores. The Company plans to release third quarter results on Thursday, November 18, 2004 after the close of stock market. You are invited to listen to Bombay's conference call with management that will be conducted on Friday, November 19, 2004 at 10:00 a.m. Central Time. The Company will review the third quarter results as well as the outlook for the remainder of Fiscal 2004. Interested parties should dial (212) 271-4515 ten minutes prior to the start time. The call will also be broadcast live over the Internet at http://www.bombaycompany.com/ . For those who are unable to listen to the live broadcast, a telephone replay will be available for 72 hours beginning at 12:00 p.m. Central Time at 800-633-8284. The access code is 21185890. The call will also be available for replay for 45 days on the investor relations page of the Bombay website. Please note that calendar conflicts have resulted in changes in timing for the press release and the call from previously published dates. The Bombay Company, Inc. designs, sources and markets a unique line of home accessories, wall decor and furniture through 493 retail outlets, specialty catalogs and the Internet in the U.S. and internationally.