Retail Profits Off in 1Q

Washington, DC, October 12, 2005--After-tax profits of retail corporations with assets of $50 million and over totaled $13.0 billion in the first quarter 2005, down $3.7 billion from the preceding quarter, but up $1.6 billion from the same quarter a year ago, the U.S. Census Bureau reported. Sales in the first quarter 2005, at $424.2 billion, were down $29.8 billion or 6.6 percent from the $454.0 billion of last quarter, but up $29.6 billion or 7.5 percent from the $394.6 billion of the first quarter of 2004. These data are not adjusted for seasonality. After-tax profits for these corporations averaged 3.1 cents per dollar of sales for the first quarter of 2005, down 0.6 cents from the 3.7 cents of the preceding quarter, and up 0.2 cents from the 2.9 cents recorded in the first quarter of 2004. The annual rate of after-tax profits on stockholders' equity in the first quarter of 2005 was 15.4 percent, down 4.6 percent from the 20.0 percent of the fourth quarter of 2004, but up 0.4 percent from the 15.0 percent of the first quarter of 2004.