JCPenney (NYSE: JCP) 2Q19 Results: Revenues Down, Improves Inventory Position, Launches Partnership with ThredUp in 30 Stores

Executive Summary

• JCPenney reported fiscal 2Q19 net sales of $2.51 billion, lower than the consensus estimate of $2.64 billion, and down 9.2% year over year. The company reported adjusted 2Q19 EPS of $(0.18), better than the year-ago period of $(0.38) and higher than the consensus estimate of $(0.31).
• Comparable sales decreased 9.0% for the quarter compared to the consensus estimate of down 5.1%.
• The company reaffirmed its guidance to be cash flow positive for fiscal year 2019. The company expects comparable sales to in a range of (7.0)%-(8.0)%.