Vera Bradley Beats Q3 EPS, Misses On Revenue

Vera Bradley, Inc. VRA announced its financial results Wednesday for the third quarter and nine months ended November 1, 2014.

Current year third quarter net revenues from continuing operations of $125.2 million were in the mid-range of the Company's guidance of $123 million to $128 million but below estimates of $127.52 million. Prior year third quarter revenues from continuing operations totaled $128.9 million.

Income from continuing operations totaled $8.7 million, or $0.21 per diluted share, above estimates of $0.19.

Comparable sales (including e-commerce) increased 0.9 percent for the quarter (reflecting a 13.5 percent decline in comparable store sales and a 22.2 percent increase in e-commerce sales). As expected, third quarter comparable store sales were negatively impacted by year-over-year declines in store traffic.

Robert Wallstrom, Chief Executive Officer, noted, "We exceeded our earnings per share guidance for the quarter. Our third quarter revenues and gross margin rate were in the mid-range of our guidance; SG&A was favorable to our expectations due to expense control and the timing of certain expenses that will be incurred in the fourth quarter."

The company guided fourth fiscal quarter net revenues to be in the range of $158 million to $163 million, below analyst expectations of $168.00 million.

The company expected earnings from continuing operations of $1.00 to $1.05 per share for the current fiscal year, while $1.04 was estimated by analysts.

Vera Bradley, Inc. closed at $21.53 Tuesday, down 1.55 percent.