Childrens Place Inc (NASDAQ: PLCE) shares rose Thursday after the company posted upbeat Q2 earnings and raised its FY18 forecast.
The company, based in Secaucus, New Jersey, reported net sales increased by $75.1 million, or 20.1%, to $448.7 million during the second quarter 2018 from $373.6 million during the second quarter 2017.
This increase was primarily driven by a positive comparable retail sales increase of 13.2%, an approximately $22.0 million benefit from the calendar shift related to the 53rd week in fiscal 2017, and an approximately $5.0 million due to the new revenue recognition rules.
Net income was $7.5 million, or $0.45 per diluted share, in the second quarter of 2018, compared to net income of $14.3 million, or $0.79 per diluted share, the previous year. Adjusted net income was $11.7 million, or $0.70 per diluted share, compared to adjusted net income of $15.6 million, or $0.86 per diluted share, in the second quarter last year.
CEO Jane Elfers declared, "We set the bar very high for the second quarter and we beat it. We delivered our highest ever quarterly comp, a positive 13.2% on top of a positive 3.1% last year. We delivered adjusted EPS of $0.70, $0.09 above the high end of our guidance range. We delivered positive brick and mortar sales comps and positive digital sales comps every month in the second quarter.
"Additionally, we drove positive brick and mortar traffic comps every month of the quarter resulting in a positive mid-single digit traffic increase."
Shares climbed 92 cents to $138.43.
Related Stories
