For the quarter, the specialty retailer reported diluted earnings per share (EPS) of $0.75 on revenues of $728.7 million. In the same period a year ago, Express reported adjusted EPS of $0.70 on revenue of $673.2 million. Fourth-quarter results also compare to the Thomson Reuters consensus estimates for EPS of $0.74 and $722.38 million in revenue.
For the quarter, same-store sales rose 1.5% on a comparable 14-week basis.
For the full year, the company reported EPS of $1.60 on $2.15 billion in revenues, down from an adjusted EPS of $1.66 in 2011. The consensus estimate had called for EPS of $1.58 on revenues of $2.14 billion.
The company’s CEO said:
As we begin 2013, we expect to advance each of our existing four pillars of growth. In addition, we are also excited to pursue a new growth opportunity in 2013 through the development of a new Express outlet business. … While our guidance anticipates a softer start to the year, reflecting the impact of reduced traffic levels and consumer spending in the month of February, our spring merchandise has been received favorably by our customers, resulting in an improvement in conversion, which we do consider to be a leading indicator, early in the first quarter.
The company offered first-quarter EPS guidance of $0.34 to $0.38, with same-store sales coming in flat to up 4% compared to the first quarter of last year. The consensus estimate called for first-quarter EPS of $0.46. For the full year EPS is forecast at $1.40 to $1.54, well below the consensus estimate of $1.72. The lower guidance is attributed to expenses associated with opening new stores and “some degradation of merchandise margin” in the first quarter.
Shares are down 12.4% in premarket trading, at $16.50 in a 52-week range of $10.47 to $26.27. Thomson Reuters had a consensus analyst price target of around $20.90 before today’s results were announced.
Get Ready To Retire (Sponsored)
Start by taking a quick retirement quiz from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes, or less.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Get started right here.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
