BJ's reports earnings and sales gains

BJ's Wholesale Club Inc., the Natick-based chain of club stores, today reported first quarter net income of $17.2 million, or $.29 per diluted share, up 26 percent from a year ago.

BJ's earnings release comes as many consumers, stretched by rising food and gas prices, are changing their shopping habits and opting to spend more of their dollars at lower-price chains such as BJ's.

For the first quarter of 2007, the Company reported net income of $13.7 million, or $.21 per diluted share.

  BJ's also announced that it expects to report earnings for fiscal 2008 in the range of $2.04 to $2.14 per diluted share, an increase of $0.06 versus prior guidance of $1.98 to $2.08 per diluted share.

  Net sales for the first quarter of 2008 increased by 12.3 percent to $2.26 billion and sales at stores open at least year rose by 9.6 percent, including a contribution from sales of gasoline of 3.9 percent, BJ's said.

For the first quarter of 2007, net sales increased by 7.5 percent, and sales at stores open at least a year increased by 2.3 percent, including a contribution from sales of gasoline of 1.4 percent, BJ's said.

The company has scheduled a conference call for later this morning to discuss first-quarter results.
(By Chris Reidy, Globe staff)