Chico’s posts rise in Q3 net sales and earnings
For the third quarter, Chico’s reported net income of 24.6 million dollars or 20 cents per diluted share compared to 18.2 million dollars or 15 cents per diluted share, for last year's third quarter.
Net sales for the quarter were 518.3 million dollars, up 14.3 percent improvement primarily reflecting a comparable sales increase of 16.5 percent, partially offset by 18 permanent net store closures since last year's third quarter.
Commenting on the third quarter trading, Molly Langenstein, Chico's FAS CEO and president, said: "We posted another quarter of outstanding operating income and EPS performance, resulting from continued strong store and digital sales growth and solid expense leverage.”
"Apparel was once again the leading performer for the quarter, with Chico's posting a 29 percent comparable sales increase and White House Black Market generating a 17 percent comparable sales gain," Langenstein added.
For the fourth quarter, the company currently expects consolidated net sales of 535 million dollars to 555 million dollars; gross margin rate as a percent of net sales of 35.4 percent to 35.8 percent; and earnings per diluted share of 7 cents to 10 cents.
For fiscal 2022, the company currently expects consolidated net sales of 2,153 million dollars to 2,173 million dollars; gross margin rate as a percent of net sales of 39.2 percent to 39.3 percent; and earnings per diluted share of 89 cents to 92 cents.