New York & Company Inc. announced unaudited consolidated earnings results for the first quarter ended May 5, 2018. For the quarter, the company reported net sales of $218,829,000 against $209,857,000 a year ago. The increase in net sales reflects the combined effect of the shift of the calendar due to the fifty third week in fiscal year 2017, increased sales from Fashion to Figure and growth in ecommerce sales, partially offset by a reduced store count. Operating income was $3,475,000 against loss of $3,852,000 a year ago. Income before income taxes was $3,214,000 against loss of $4,131,000 a year ago. Net income was $3,086,000 or $0.05 per basic and diluted share against net loss of $4,247,000 or $0.09 per basic and diluted share a year ago. Net cash used in operating activities was $474,000 against $9,883,000 a year ago. Capital expenditures were $274,000 against $2,096,000 a year ago. Non-GAAP operating income was $4,313,000 against loss of $2,272,000 a year ago. Non-GAAP net income was $3,924,000 or $0.06 per diluted share against net loss of $2,667,000 or $0.04 per diluted share a year ago. EBITDA was $9 million, increased $6.9 million form the same period previous year.

For the spring season, which consists of first and second quarters of fiscal year 2018, the company has increased its expectations and now expects non-GAAP operating income to be in the range of $5 million to $6 million, excluding the impact of non-operating charges of $1.0 million primarily related to severance, resulting from the company's recently completed streamlining of its corporate office support functions, as compared to the prior year non-GAAP operating income of $1.2 million. Adjusted EBITDA for the spring season, excluding the aforementioned charge for severance, is expected to be in the range of $17 million to $18 million, as compared to adjusted EBITDA of $12.3 million for the prior spring season after excluding non-operating charges and benefits. Net sales for the full spring season are expected to be up slightly, reflecting growth in ecommerce and the addition of Fashion to Figure, partially offset by a reduced store count. Comparable store sales, which are shifted to compare like calendar weeks, are expected to increase in the low single-digit percentage range for the full spring season. EBITDA for the full spring season is expected to be in the range of $17 million to $18 million.

For the second quarter, the company projects capital expenditure to be approximately $3 million to $5 million, as compared to $2.6 million of capital expenditures in the second quarter of last year, reflecting continued investments in the company's information technology and omni-channel infrastructure, and real estate remodel/refresh activity. Depreciation expense for the second quarter of fiscal year 2018 is estimated to be approximately $5 million

For the full year, capital expenditures are expected to be in the range of $10 million to $12 million.