Conn’s, the 100-plus showroom furniture, bedding, appliance and CE chain, reported higher sales and lower credit delinquencies in April.
Total net sales rose 6.2 percent for the month, to $105.4 million, while comparable store sales were down 1.9 percent on weakness in CE.
Broken out by category, furniture and mattress comps rose 2.1 percent; majap comps edged up 0.6 percent; home office comps rose 3.7 percent; comps for commissions from extended services were up 4.3 percent; and CE comps declined 15 percent, reflecting the retailer’s exit from the gaming and digital imaging categories and select tablet lines.
CEO Norm Miller also attributed the CE downturn to “softer vendor promotions” compared to last year.
Sales were further hindered by tighter in-house credit requirements, in an effort to reduce delinquencies. Indeed, 60-day delinquencies were down from March, when the underwriting changes went into effect, from 8.9 percent to 8.6 percent, although they rose from last year’s 8.4 percent rate.
Miller added that “appliance trends are improving on more aggressive promotions and pricing,” and that home office gains were fueled by sales of computers and office furniture.