Ross Stores (NYSE: ROST) Fiscal 4Q18 Results: Beats Estimates, Plans to Open 100 Stores in 2019

Executive Summary

• Ross Stores reported fiscal 4Q18 revenues of $4.1 billion, up 1% year over year and above the $4.0 billion consensus estimate. The company reported 4Q18 EPS of $1.20, up from $1.19 in 4Q18, beating the $1.12 consensus estimate.
• The company’s comparable sales, which excludes the impact of acquisitions and sales and are expressed at constant exchange rates, were up 4% in 4Q18 compared to a 5% increase in 4Q17.
• For fiscal 1Q19, Ross Stores forecasts comparable sales growth of flat to up 2% and projects EPS to be $1.05–1.11. The company expects revenue growth of 3–6% year over year in 1Q19. The company plans to add 22 new Ross Dress for Less (Ross) and 6 dd’s Discounts stores in 1Q19.