Pier1 Steady after Posting Better than Expected Sales

Shares of Pier 1 Imports, Inc. (NYSE:PIR) are steady in morning trade and close to a 52 week high after the company reported revenues for its fourth quarter above analyst forecasts. Profits are expected to come in line with analyst forecasts.

The company said comparable store sales for the fourth quarter ended February 25, 2012 increased 10.3% compared to last year’s comparable store sales increase of 8.9% for the fourth quarter ended February 26, 2011. Total sales for the quarter improved 11.8% to $477 million compared to $427 million in the year-ago quarter. This came in higher than analyst consensus forecasts of $469.9 million.

For the fiscal year ended February 25, 2012, total sales increased 9.8% to $1.534 billion from $1.396 billion last fiscal year. Comparable store sales increased 9.5% for the fiscal year compared to a comparable store sales increase of 10.9% last fiscal year. Merchandise margins remained strong in the fourth quarter and will be approximately 59.5% of sales compared to last year’s fourth quarter merchandise margins of 58.4% of sales.

The company also projected a fourth-quarter profit of 47 to 48 cents a share, in line with analyst consensus estimates of 47 cents a share. Gross profit is expected to be approximately 45.5% of sales for the fourth quarter versus 42.8% of sales for the fourth quarter last year.

Alex W. Smith, President and Chief Executive Officer, commented, “Fiscal 2012 has been another excellent year for Pier 1 Imports and we are delighted to end our year with strong fourth quarter sales results. Merchandise margins remained strong throughout the quarter and will be approximately 59.5% of sales. Our spring, outdoor and Easter product assortments are pacing ahead of last year and we feel very confident this momentum will carry into the first quarter as we start our new fiscal year.”

More Posts by this author

• 
  Wal-Mart Raises Dividend by 9% to $1.59 per share
• 
  Auto-Sales Rise to the Highest Level in Four Years in February
• 
  Gold Prices Settle Higher
• 
  Stocks End Higher; S&P 500 Closes Above Key Technical Level
• 
  Gold and Silver Prices Rebound Sharply
• 
  Stocks Hold on to Gains
• 
  Jet Aviation has acquired the Enterprise Jet Center

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.