Stein Mart (SMRT) 2Q16 Results: Misses on EPS, Lowers SG&A Guidance, New Initiatives for 3Q16

Executive Summary

• Stein Mart reported 2Q16 EPS earnings of $0.06, and missed the consensus estimate of $0.07 by $0.01.
• Total revenues were $319.8 million compared to $311.6 million last year, which is a 2.6% increase. The company missed the revenue consensus estimate of $326.1 million by 2.0%. Comparable store sales decreased by 1.4%, but new-store sales and a controlled markdown strategy contributed to the sales growth.
• Management maintained its revenue and gross profit guidance and decreased its SG&A guidance to $360 million, compared to $370 million previously.