Mattress Firm Holding Beats Q3 Revenue, EPS Inline

Mattress Firm Holding Corp MFRM announced Monday its financial results for the third fiscal quarter ended October 28, 2014. Net sales increased 42.3 percent to $464.3 million, above estimates of $431.01 million, reflecting comparable-store sales growth of 8.5 percent and incremental sales from new and acquired stores.

The company reported third fiscal quarter EPS on GAAP basis of $0.45, and EPS on a non-GAAP adjusted basis, excluding acquisition-related costs, ERP system implementation costs and loss on debt extinguishment ("Adjusted"), of $0.70, in-line with estimates and above the $0.55 reported in the year-ago period.

"The increase in net sales of 42.3 percent and comparable-store sales growth of 8.5 percent reaffirms the validity of the relative market share strategy," stated Steve Stagner, Mattress Firm's chief executive officer. "Furthermore, the integration of the Sleep Train and Back to Bed operations continues to progress, providing us with the confidence that our Company will derive further benefits from our deliberate strategic growth initiatives.

The company also raised its full fiscal year 2014 revenue guidance from a range of $1.545-$1.585 to $1.77-$1.79 (in billions) while adjusted EPS remained at $2.03-$2.13.

Mattress Firm Holding closed at $69.62 Monday, down 1.99 percent, and was down about 0.9 percent in the after-hours session.