3 minutes

Designer Warehouse (DSW) 2Q16 RESULTS: NEW KIDS LINE AND ACQUISITION OF EBUYS DRIVES SALES

Primary Analyst: Coresight Research
Contributors
Primary Analyst: Coresight Research
Insight Report

Executive Summary

  • Designer Shoe Warehouse (DSW) reported 2Q16 adjusted EPS of $0.35 and beat the consensus estimate of $0.30. The adjusted EPS included $0.03 of acquisition-related costs and $0.02 in restructuring expenses.
  • Revenues increased 5.1% to $658.9 million from $627.2 million in the second quarter last year, and just beat the consensus estimate of $658.7 million. Sales included $19.6 million from its acquisition of Ebuys. Comparable sales decreased 1.2%.
  • Guidance was reiterated for full fiscal year earnings per share of $1.32 to $1.42. The company maintained its outlook for a comp decline in the low single-digits. The full-year revenue estimate is $2.78–$2.8B.
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