J.C. Penney reports better than expected results

J.C. Penney reports better than expected resultsTroubled retailer, J. C. Penney has said that it has recorded a better than expected results during the fourth quarter as it recorded a small profit during the period.

The company is in between a turnaround and the better than expected results might be able to convince some investors that the retailer might be able to revive its business. The department store retailer recorded a small profit in the fourth quarter compared to a huge loss recorded in the same quarter of the previous year.

The retailer also recorded its first gain in a key revenue figure in more than two years. The company, which is based in Plano in Texas, said that it expects revenue at stores open at least a year to increase from 3 percent to 5 percent in the current quarter.  The retailer had earlier announced that it is planning to close down 33 underperforming stores and cut 2,000 jobs in the country.

CEO Myron Ullman said that the sales increase, which is the first since December 2011 indicates that the company is recording a meaningful progress. The company has been claiming that it is recording an improvement in sales and it would record positive sales during this quarter.

The shares of the company increased 5 percent, or 29 cents, to $6.25 per share in aftermarket trading after the company announced results as investors expressed confidence on the management of the retailer giant.