Dive Brief:

• J.C. Penney reported a surprising 6.2% Q1 sales increase in stores open more than a year. That number could have reported as a 7.4% increase using slightly different calculations that include sales return estimates and liquidation sales.

• The retailer, however, is reporting a net income loss of $352 million.

• The company also said it has secured a $2.35 billion line of credit.

Dive Insight:

J.C. Penney’s fortunes are still not all that bright; these numbers look good in part because they are coming out of a sizable hole. But with this news they have beat expectations, perhaps beginning to turn their story around.