CBK Misses a Stitch: Fool by Numbers

After the market closed on Dec. 19, fashion retailer Christopher & Banks (NYSE: CBK  ) released its third-quarter earnings for the period ended Nov. 25.

• Sales grew almost 7% during the quarter, but same-store sales declined 1%.
• Margins were down across the board. Management said the merchandise mix wasn't up to par.
• Despite the setback, 72 of 76 investors think the company will outperform the S&P 500 in our new community intelligence service, CAPS.

(Figures in millions, except per-share data)

Income Statement Highlights

	Q3 2006	Q3 2005	Change
Sales	$139.3	$130.5	6.7%
Net Profit	$9.2	$8.7	5.7%
EPS	$0.24	$0.24	0%
Diluted Shares	38.2	36.2	5.7%

Get back to basics with a look at the income statement.

Margin Checkup

	Q3 2006	Q3 2005	Change*
Gross Margin	39.2%	40.2%	(1.0)
Operating Margin	9.9%	10.7%	(0.8)
Net Margin	6.6%	6.7%	(0.1)

*Expressed in percentage points.

Margins are the earnings engine. See how they work.

Balance Sheet Highlights

Assets	Q3 2006	Q3 2005	Change
Cash + ST Invest.	$113.2	$69.6	62.7%
Accounts Rec.	$0.0	$0.0	N/A
Inventory	$55.4	$42.9	29.1%

Liabilities	Q3 2006	Q3 2005	Change
Accounts Payable	$7.1	$8.3	(15.1%)
Long-Term Debt	$0.0	$0.0	N/A

Learn the ways of the balance sheet.

Cash Flow Highlights
To view the cash flow statement, we'll have to wait for the 10-Q.

Find out why Fools always follow the money.

Related Companies:

• Chico 's FAS (NYSE: CHS  )
• Coldwater Creek (Nasdaq: CWTR  )
• Ann Taylor (NYSE: ANN  )

Related Foolishness:

• One Hot Retailer
• Christopher & Banks: Fool by Numbers
• Folly Volley: Christopher & Banks

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Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean.

At the time of publication, David Meier did not own shares in any of the companies mentioned. Fool rules for disclosure are here.