Low-price operators Costco Wholesale Corp., Wal-Mart Stores Inc., and the TJX Cos. Inc. reported better-than-expected sales yesterday, while traditional apparel chains J.C. Penney Co. Inc. and Limited Brands Inc. struggled.

"The smart shopper is in full bloom," said Craig R. Johnson, president of consultancy Customer Growth Partners. "They're looking to stretch their household budgets, and if you can get decent quality merchandise, why pay full price?"

Wal-Mart, TJX and Costco reported April sales that rose more than analysts estimated.

Consumers facing four consecutive months of job losses headed for those stores instead of malls, hurting sales at Gap Inc. Meanwhile, Saks Inc. sold clothes for as much as 40 percent off to draw shoppers.

As customer expenses for food and energy rise, stores may need to keep up promotions, said Britt Beemer, founder of America's Research Group Ltd. Inc.

"If you didn't have a sale, you didn't have customers," Beemer said. "Consumers are having a hard time dealing with inflation in both food and fuel."

"Smart shopping" is sweeping through all wage classes, analysts said, and it could spell trouble for retailers' profits and for the economy.

First-quarter profits for the industry probably will be down 14.9 percent, said Ken Perkins, president of RetailMetrics L.L.C., a research company in Swampscott, Mass. That compares with a projection in January of 5.3 percent profit growth.

Retailers' first quarter ended in April, and companies will start reporting their financial results next week.

The UBS-International Council of Shopping Centers retail sales tally for the month rose 3.6 percent, better than the 2 percent growth estimate. The April performance, which included one shopping day more than in April last year, followed a 0.5 percent decline the previous month, the weakest March in 13 years.

The surprise in April was the growing gap between discounters and traditional retailers.

Discount chains registered an average 3 percent same-store sales gain, while wholesale clubs posted a 9.2 percent gain. Same-store sales at apparel chain stores fell 1.4 percent, according to the ICSC tally. Same-store sales, a key retail yardstick, measure sales at stores open at least a year. That takes out the effect of store openings and closings.

A limping economy, soaring food and gasoline prices, limited credit, slumping home prices, and worries about jobs continue to unnerve shoppers.

But that has been a boon for discounter Wal-Mart, which has spruced up its stores and merchandise.

Wal-Mart reported a 3.2 percent gain in same-store sales. Analysts polled by Thomson Financial expected a 2.1 percent gain.

Target Corp. posted a 3.1 percent gain in same-store sales, below the 4.5 percent estimate, as consumers shopped for necessities such as food and skipped higher-priced items such as jewelry.

Costco's 8 percent increase surpassed the 6.1 percent estimate.

TJX, which operates discount apparel and home stores including T.J. Maxx and Marshalls, said same-store sales rose a better-than-expected 8 percent.

Among department stores, Penneys reported a 1.7 percent decline in same-store sales, though that was better than the 4.6 percent declined analysts expected. Nordstrom Inc. posted a 3.8 percent drop in same-store sales, more than double the decline that Wall Street expected.

Limited reported a 5 percent drop in same-store sales, almost more than double the expected drop. Gap reported a 6 percent drop in same-store sales, more than three times what was projected.