Guess Q1 profit down 15%, narrows view
Los Angeles — Guess Inc. beat first-quarter revenue expectations, even though it also reported a 15% decline in net income. The company said net income fell to $42.7 million in the quarter ended April 30, compared with $50.3 million in the year-ago period.
Total revenue increased 9.8% to $592.2 million, beating analysts’ predictions of $567.7 million. Strength in Asia, where revenue rose 24%, drove the increase. Revenue in Europe also helped, rising 12%. Revenue in North America was the weakest, up 5%.
Same-store sales fell 3.1% in U.S. dollars.
In a Barrons report, Guess CEO Paul Marciano said the company focused on controlling inventory and costs, and that the year "is not without its challenges." He cited rising costs of cotton, fuel and other commodities that Guess needs to make and transport its goods, as well as "uncertainty in many economies around the world."
Ascena Retail Group Q3 profit up 8%
Suffern, N.Y. — Ascena Retail Group Inc. said Wednesday that its fiscal third-quarter profit rose 8% on increased sales at its Dressbarn, Maurices and Justice clothing stores.
The retailer, formerly known as The Dress Barn Inc., reported net income of $51.8 million for the three months ended April 30, up from $48 million in the year-ago period.
Revenue rose 9% to $722.8 million from $665.5 million in the same quarter a year ago. Dressbarn revenue rose 5% in the quarter, and Maurices revenue jumped 17%. Justice sales rose 6%.
Across the three brands, same-store sales increased 6%.
The revenue growth was partly offset by a nearly 10% increase in selling, general and administrative expenses, which rose to $213.6 million from $194.9 million in the year-ago quarter, as marketing costs increased.
Tiffany shines as Q1 profit surges 25%
New York — Tiffany & Co. said Thursday its first-quarter profit rose 25% on higher revenue across all regions worldwide. The results beat expectations and the company raised its forecast for the year above current Wall Street estimates.
Tiffany net income rose to $81.1 million for the three months ended April 30, up from $64.4 million a year earlier.
Revenue jumped 20% to $761 million from $633.6 million last year, sharply higher than analyst predictions of $702.6 million.