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Earnings Analysis: 
Big Lots Narrows Quarterly Loss
Author: Ivaylo Dagnev
123jump.com
Last Update: 9:55 AM EST November 16 2005



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Big Lots, Inc, retailer of closeout merchandise, posted Q3 net loss of 17 cents per share, up from a net loss of 29 cents per share in the year-ago period.

 
Big Lots’, (BLI: chart), net sales for Q3, increased 6.2%. Comparable store sales increased 1.7% for Q3, consisting of a 5.0% increase in the value of the average basket and a 3.3% decrease in customer transactions. On a year to date basis, net sales rose 6.6%. Comparable store sales increased 1.5% for the year to date period with the value of the average basket increasing 4.4% and the number of customer transactions declining2.9%.

Zale Corp., (ZLC: chart) jewelry retailer, posted Q1 loss of 47 cents a share, down from a loss of 21 cents a share in the year-ago period, despite 1.2% revenue growth, missing analysts’ forecasts of a loss of 35 cents a share The latest results include a charge of 10 cents a share, related to the closing of about 30 of the company''s Bailey Banks & Biddle locations. If not for this charge the company lost 36 cents a share. Same-store sales shed 1.2%. The company declared that its performance was hurt by its efforts to reposition the Zales brand.

D.R. Horton, (DHI: chart), homebuilder, reported that Q4 net income rose 61% to $1.77 compared with last year’s result on 45% increase in revenue, beating analyst estimate of $1.63 cents a share. The company added that fiscal year 2006 earnings should be in a range of $5.22 to $5.32 a share on revenue of more than $15.5 billion, but kept its earnings forecast for the first quarter unchanged at between 90 cents and 95 cents a share.

Charming Shoppes, Inc., (CHRS: chart), apparel retailer, announced that Q3 net profit soared 70% to 9 cents a share, from the comparable period last year, topping the analysts’ forecasts by a penny. Sales rose 22%. The company envisages Q4 earnings between 13 cents and 14 cents a share on same-store sales up 2% to 4%.

Tyco International, (TYC: chart) industrial conglomerate, reported Q4 net income rose to 44 cents a share, double from 22 cents a share in the year-ago period on lower restructuring and divestiture charges at its fire and security division. Revenue was up 2% on a comparable basis. Earnings from continuing operations totaled 42 cents a share but missed analyst expectations of 46 cents a share.

The Talbots Inc, (TLB: chart)specialty apparel retailer, posted Q3 earnings of 37 cents a share, down from profit of 49 cents a share in the same period last year, beating analyst estimate by a penny. The year-ago results include a tax benefit of or 8 cents a share. Sales increased 3% in Q3. Same-store sales dropped 2% in the period.

Helmerich & Payne Inc., (HP: chart) oil and gas company, posted Q4 earnings of 68 cents a share, up from a loss of 25 cents a share in the same period a year ago on revenue growth, missing analyst estimate of 71 cents a share. The latest results include a gain of a penny a share on the sale of certain securities, while the year-ago performance reflects an asset impairment charge of 63 cents a share, and a gain of 16 cents a share from securities sales.

Too Inc., (TOO: chart), specialty retailer of young girls'' apparel, posted Q3 earnings of 48 cents a share, up from 33 cents a share in the year-ago on higher sales and merchandise margin improvement, beating analyst estimate of 43 cents a share. Sales rose 16% in Q3 and same-store sales advanced 8%.
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