Destination Maternity (DEST) Reports Q1 EPS of $0.03; Updates FY16 Outlook
Destination Maternity (NASDAQ: DEST) reported Q1 EPS of $0.03, versus $0.27 reported last year. Revenue for the quarter came in at $124.4 million, versus $141.6 million reported last year.
Comparable sales decreased 5.4%, compared to a 1.1% decrease for the first quarter of fiscal 2015 (13 weeks ended May 2, 2015).
The Company updated its financial guidance for fiscal 2016 as follows:
- Comparable sales expected to be flat for the full fiscal year with greater improvement in the second half of fiscal 2016;
- Gross margin to increase approximately 200 to 300 basis points year-over-year, as inventory productivity initiatives continue to generate more profitable sales;
- SG&A dollars will continue to decline, with some deleveraging as a percent of sales on a full year basis;
- Capital expenditures to be $15 to $17 million, driven by investments in systems, infrastructure, and modest store growth;
- The Company plans to open 7 to 10 new stores and close 25 to 35 stores.
For earnings history and earnings-related data on Destination Maternity (DEST) click here.