Guess Warns Loss Will Be Wider

Guess Inc., a clothing retailer and designer, said its second-quarter loss would be wider than forecast because of lower sales and increased store expenses.

The Los Angeles-based company said the per-share loss would be 16 cents to 18 cents, compared with its earlier forecast of 12 cents to 14 cents.

Same-store sales in June dropped 6.2%, leading to a 7.4% decline for the quarter ended June 29. Guess said it had been trimming costs and inventory as sales fell in each of the last six quarters.

Guess said in May that profit this year would be less than forecast because sales to department stores and other retailers were lower than expected.

Shares of Guess closed up 5 cents at $7.25 on Nasdaq, before the news was released.