Stock Market Watch

Dillard’s Shares Tumble as Q4 Results Miss Estimates (DDS)

by ·


Shares of Dillard’s Inc. (NYSE: DDS) have tumbled in trading today after the company’s results for the fourth-quarter ended February 2, 2013 missed Street estimates.

Key Points

  • Dillard’s fourth-quarter adjusted earnings missed Street estimates
  • The company’s revenue for the quarter also missed expectations
  • Comparable store sales for the quarter rose 3%

For the fourth quarter ended February 2, 2013, the Little Rock, Arkansas-based company reported net income of $161.4 million, or $3.36 per share. Excluding one-time items, the company’s earnings for the quarter were $137.6 million. Although adjusted earnings for the quarter rose 30% on a year-over-year basis, it missed the consensus forecast of $2.89 per share.

Net sales for the quarter were $2.106 billion, compared to $1.97 billion reported for the same period in the previous year. Despite a near 7% increase in net sales, investors were disappointed as quarterly sales missed consensus forecast of $2.13 billion.

Comparable store sales for the quarter rose 3%. For the full fiscal year, the company reported net sales of $6.593 billion, compared to $6.264 billion reported in the previous year.

William T. Dillard, II, CEO of Dillard’s, said that the company is pleased to report a strong finish to a very successful year. Dillard said that the company’s positive sales performance and gross margin expansion combined with expense control drove strong cash flow throughout the year, and as a result, the company is pleased to return cash to shareholders in the form of $5 special dividend during the fourth quarter.

Despite the positive comments from CEO, investors have been disappointed with DDS’s earnings and revenue miss for the quarter. Shares of Dillard’s fell to an intra-day low of $76.03 earlier today. At last check, the stock was trading 8.58% higher at $77.63 on above average volume of 826,323.

About Dillard’s Inc.

Dillard’s Inc. is a retailer of fashion apparel, cosmetics and home furnishings.

More Posts by this author

edliston
Post Written By: Ed Liston
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing in his yacht.

Tags:

Ed Liston

Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing.

You may also like...