Executive Summary

• Express reported 4Q16 EPS of $0.29, down 56.7% from the year-ago quarter and in line with the consensus estimate and company guidance. The company reported revenue of $678.8 million, down 11.3% from the year-ago quarter and slightly above the $675.8 million consensus estimate.
• Same-store sales, which includes e-commerce, declined by 13% from the year-ago quarter—when they grew by 4% year over year—versus the consensus estimate of a 12% decline. The company said slower mall traffic and a promotional retail environment impacted performance.
• For FY17, Express projects EPS of $0.65–$0.73, compared with the $0.87 consensus estimate. Same-store sales for the full year are expected to be flat to up by low single digits, versus the consensus estimate of a 0.4% decline.