logo-loader
viewAscena Retail Group Inc

Ascena Retail Group shares jump after beating Wall Street's fiscal 4Q revenue and profit expectations

Comparable sales were up 7% at LOFT and 1% at Ann Taylor; together the two premium women’s fashion brands posted quarterly net sales of $620.4m

clothing
Investors welcomed the results and sent Ascena shares up more than 9% in after-hours trade

Shares of Ascena Retail Group (NASDAQ:ASNA) soared in Tuesday's pre-market session after the parent company of Ann Taylor, LOFT and Lane Bryant beat Wall Street’s expectations on revenue and profit for its fiscal fourth-quarter earnings, fueled by booming sales at LOFT.

For its fiscal fourth-quarter, the Mahwah, New Jersey-based company reported adjusted earnings of $0.07 per share on revenue of $1.77 billion, which whizzed past the consensus estimate of $0.03 on revenue of $1.62 billion.

The retailer’s fiscal fourth quarter performance was also much improved from the year-ago period as its net income came in at $33.2 million, or $0.17 per share, compared with losses of $15.8 million or $0.08 in the year-ago period.

Comparable sales were up 7% at LOFT and 1% at Ann Taylor and together the two premium women’s fashion brands posted net sales of $620.4 million. Lane Bryant’s same-store sales were 2% higher and its revenue came in at $294.5 million. The lone negative performance was a 5% fall in same-store sales at Dressbarn, which still produced revenue of $239.1 million in the quarter.

“Our fourth quarter reflected sequential comparable improvement across all our brands, and the first enterprise-level positive comparable quarter for Ascena since the second quarter of fiscal 2015,” noted CEO Dave Jaffe in a statement.

Investors welcomed the results and sent Ascena shares up 9.7% to $4.40 in Monday’s after-hours session and another 10% to $4.78 before Tuesday's opening bell.

For the fiscal first quarter, the company expects its non-GAAP results to range from a loss of $0.04 per share to earnings of $0.06 per share on revenue of $1.54 billion to $1.56 billion. Ascena also expects full-year revenue to fall in the range of $6.45 billion to $6.55 billion.

Ascena closed a net 185 stores during fiscal 2018 as part of its efforts to streamline its operations.

For the year, the company said its loss narrowed to $39.7 million or $0.20 per share. Revenue came in at $6.58 billion.

Quick facts: Ascena Retail Group Inc

Price: 0.91 USD

NASDAQ:ASNA
Market: NASDAQ
Market Cap: $9.09 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Full interview: Helix Technologies following up strong 2019 with success in 2020

Helix Technologies (OTCQB: HLIX) President of Data Services Garvis Toler joined Steve Darling from Proactive Vancouver to discuss the company releasing their 2019 financial numbers which were very strong and also what milestones they hit to close the year.  Toler also told Proactive...

1 day, 9 hours ago

2 min read