BJ's same-store sales worse than expected in May

(Company photo)

BJ's Wholesale Club Inc. said its same-store sales in May fell below analyst expectations, dragged down by the effect of lower gasoline prices.

Natick-based BJ's said same-store sales fell 6.8 percent. The retailer said excluding lower gasoline prices and sales volume, same-store sales rose 4 percent.

Analysts were expecting a smaller decline of 4.4 percent, said Thomson Reuters. Those estimates include the impact of gasoline sales. Analysts did not offer estimates without gas sales.

Same-store sales, or sales at locations open at least one year, are considered a key measurement of retailer health because they show performance at older stores rather than newly opened ones.

President and chief executive Laura Sen said traffic increased 5 percent from last year, excluding gasoline sales. May sales showed strength in basics like food, with sales up 6 percent, and consumables, televisions, and computer equipment, Sen said. The company saw continued drops in discretionary areas like apparel, jewelry, and sporting goods. It also noted the negative impact in the price deflation of certain foods, which dragged down sales.

In the four-week period ended May 30, BJ's total sales fell 4.7 percent, to $783.4 million from $822 million. (AP)