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Guess? (GES) Tops Q4 EPS by 6c; Issues Better-than-Feared Outlook

March 18, 2015 4:04 PM

(Updated - March 18, 2015 4:09 PM EDT)

Guess? (NYSE: GES) reported Q4 EPS of $0.63, $0.06 better than the analyst estimate of $0.57. Revenue for the quarter came in at $696.7 million versus the consensus estimate of $704.6 million.

North American Retail revenues decreased 4%; retail comp sales including e-commerce decreased 5% in U.S. dollars and 3% in constant currency; European revenues decreased 16% in U.S. dollars and 5% in constant currency; Asian revenues decreased 9% in U.S. dollars and 7% in constant currency.

The company sees Q1 EPS of $0.06 to a ($0.03), versus the consensus of ($0.03)

The company sees FY 2016 EPS of $0.75 to $0.95 versus the consensus of $1.04.

Paul Marciano, Chief Executive Officer, commented, "Overall fourth quarter results were in line with our expectations. In North America, we were pleased by the emerging trends, as comps and traffic improved in the back-end of the quarter. Our E-commerce business continues to show strength, with 37% growth in the quarter and almost $80 million in revenues for the full year. In terms of products, our Marciano line resonated very well with our customers, posting double digit positive comps in the quarter, and our handbags and footwear also performed well."

Mr. Marciano continued, "Turning to the outlook for fiscal year 2016, currencies will definitely be a headwind if they stay at current levels. But, as always, we will remain focused on what we can control, like our North America real estate realignment, providing a unique customer experience within our stores, and tightly managing our costs and inventory levels. We will continue investing in our omni-channel strategy globally and expect it to be a growth vehicle for fiscal 2016. We will also continue to leverage the Marciano brand in our North America Guess stores, and I am very confident in our upcoming product lines for fiscal 2016. Of course, all of these efforts are done with two key priorities in mind: improve the profitability of the Company while at the same time protecting our key asset, the Guess Brand."

For earnings history and earnings-related data on Guess? (GES) click here.

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Earnings Guidance Management Comments Retail Sales

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