Casual Male profit falls 45% on higher tax rate

Canton, Mass. -- First-quarter net income dropped 45% at Casual Male Retail Group Inc., hurt by a higher tax rate. The chain’s tax rate jumped to 40.4% from 10.1% due to the reversal of a valuation allowance in fiscal 2011. The retailer reported Friday that it earned $2.3 million for the three months ended April 28. That's down from $4.2 million in the year-ago period. Revenue edged up slightly to $95.9 million from $95.8 million on better sales at its DXL and Casual Male XL stores and more money spent per customer. Same-store sales increased 2%.