Market Overview

Gordmans Stores Beats Q4 Expectations, Shares Rise

Share:

Shares of Gordmans Stores, Inc. (NASDAQ: GMAN) surged over 3 percent in after-hours trading after the company reported stronger-than-expected results for its fourth quarter.

The Omaha, Nebraska-based company posted quarterly net income of $2.3 million, or $0.12 per share, down from $2.7 million, or $0.14 per share, in the year-ago quarter.

Its net sales gained 1.9 percent y/y to $203.9 million from $200.0 million. However, analysts were expecting earnings of $0.08 per share on revenue of $202.41 million.

Comparable store sales slipped 2.7 percent in the quarter.

Gross profit rose 0.2 percent to $76.8 million, or 37.7 percent of net sales in the latest quarter, compared to $76.7 million, or 38.3 percent of net sales, in the year-ago quarter.

Selling, general and administrative costs increased to $72.0 million from $71.3 million.

In 2014, Gordmans Stores opened 6 new stores, relocated an existing store and closed 2 existing stores.

Andy Hall, President and Chief Executive Officer said, "While we are pleased with our fourth quarter progress, we still have significant improvement to make to return the Company to consistent positive comparable store sales growth and profitability. We continue to work on a number of strategic initiatives, including the mid-year launch of ecommerce, modifying our marketing focus to leverage our guest loyalty program, optimizing our supply chain and continuing to expand our store base."

Gordman's projects Q1 loss of $0.06 to $0.02 per share, on revenue of $144 million to $148 million. Analysts had expected a loss of $0.05 per share on revenue of $147 million.

Gordmans Stores shares gained 3.67 percent to $4.52 in after-hours trading.

 

Related Articles (GMAN)

View Comments and Join the Discussion!

Posted-In: profitEarnings News Guidance