Zumiez Inc. (NASDAQ: ZUMZ) rose after the company reported better-than-expected results for its first quarter. The company also issued strong second-quarter guidance.
The Washington State-based company, a specialty retailer of apparel, footwear, equipment and accessories for young men and women, reported total net sales increased 13.9% to $206.3 million from $181.2 million in the first quarter ended April 29, 2017 (13 weeks).
Comparable sales increased 8.3% compared to a comparable sales increase of 1.8% for the 13 weeks ended April 29, 2017. Net loss in the first quarter of fiscal 2018 was $2.6 million, or $0.10 per diluted share, compared to a net loss of $4.4 million, or $0.18 per diluted share, in the first quarter of the prior fiscal year.
Cash and current marketable securities increased 54.2% to $118.0 million, compared to cash and current marketable securities of $76.5 million at April 29, 2017. The increase in cash and current marketable securities was driven by cash generated through operations partially offset by capital expenditures.
CEO Rick Brooks said, "Our new fiscal year is off to a very good start. The strong top-line momentum we achieved in 2017 accelerated during the first quarter fueled by the strength of our assortments and the seamless shopping experience we’ve created for consumers who interact with our brand.
"With comparable sales increasing 8.3%, we generated significant expense leverage and dramatically improved our bottom line performance year-over-year.
Zumiez stock opened Friday up $2.75, or 10.2%, to $2.75
