The Men's Wearhouse Beats; Shares Rise
Shares of The Men's Wearhouse (NYSE: MW) are trading higher in the after-hours following the release of the company's Q3 earnings results. Currently, shares are higher by 4.08%, trading at $28.30; they ended the regular session lower by 1.81%, at $27.19.
The Men's Wearhouse reported Q3 adjusted EPS of $0.79 on revenues of $584.6 million; the Street was looking for $0.65 per share on revenues of $570.7 million. Revenues increased 6.3% year over year, while retail segment sales increased 5.9%.
Corporate apparel segment gross margin, as a percentage of related sales, increased from 26.5% in the third quarter of 2010 to 29.4% in the third quarter of 2011 due mainly to an improved mix of higher margin UK customers in the 2011 results, partially offset by higher Twin Hill product costs.
The company sees FY2011 total sales up 13.3-13.4%; EPS is expected to come in the range of $2.28-2.31. The company sees Q4 EPS in the range of ($0.15)-($0.12); the Street was looking for ($0.10).
The Men's Wearhouse, Inc., incorporated in May 1974, is a specialty retailer of men's suits and a provider of tuxedo rental product in the United States and Canada.
(c) 2013 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.