Executive Summary

• Ascena Retail Group reported fiscal 2Q18 revenues of $1.72 billion, down 1.7% from the year-ago quarter but beating the $1.65 billion consensus estimate. Adjusted EPS was $(0.12), down from $(0.07) in the year-ago quarter and missing the consensus estimate of $(0.09).
• Comparable sales were down 2%, versus the consensus estimate of a 2.9% decline.
• The company offered fiscal 3Q18 adjusted EPS guidance of $(0.12)–$(0.07), compared with the consensus estimate of $0.07. The company expects revenues of $1.48–$1.52 billion, compared with the $1.49 billion consensus estimate, and comparable sales of (3)%–(5)%, compared with the consensus estimate of (2)%.