Sterling Shoes Income Fund (TSX:SSI.UN) has reported a 26% increase in quarterly sales and an 8.6% increase in profit for its first quarter ending March 31, 2007.
Sales rose to $23.9 million during the quarter compared with $19 million in the same period in 2006. The increase, according to Sterling, was due mainly to same store sales growth of 7%.
Net earnings for the period rose to $1.8 million from $1.7 million in the first quarter of 2006.
Sterling Shoes opened five new stores in the quarter, renovated five others and moved two. The company is continuing to expand into Ontario, adding both Sterling Shoes and Shoe Warehouse outlets in high profile malls.
It also launched a new store banner, Gia, on Robson Street in Vancouver, and expects to open a second Gia in Metrotown this fall.
Since the income fund's initial public offering, Sterling Shoes has opened 31 stores using only a portion of its line of operating credit. Most of the funds have come from profits and cash flow from existing store sales.
Sterling Shoes Income Fund's unit price range during the past week: between $16.95 and $17.24; 52-week high: $17.41; 52-week low: $11.