- Prachi Singh |
Tailored Brands has reported second quarter GAAP diluted EPS of 1.19 dollars, which includes 0.05 dollar per share from a net gain on extinguishment of debt, compared to 0.51 dollar or adjusted diluted EPS of 0.99 dollar, for the second quarter last year. Total net sales for the quarter decreased 6.5 percent to 850.8 million dollars. Retail net sales decreased by 4.5 percent, which the company said was due to the impact of last year's store closures, with comparable retail segment net sales up 0.1 percent. Corporate apparel net sales decreased 27.3 percent.
Commenting on the results, Tailored Brands’ Chief Executive Officer, Doug Ewert said in a press release, "We were pleased that all brands posted sequential improvement in comparable sales on a one- and two-year stacked basis during the second quarter, which resulted in positive comparable sales for our retail segment as a whole. That said, the retail environment remains challenging and therefore we have a cautious outlook for the second half of the year.”
Men’s Wearhouse comparable sales decline 2.2 percent
The company said, comparable sales at Men's Wearhouse decreased 2.2 percent resulted primarily from a decrease in transactions and a slight decrease in units per transaction partially offset by an increase in average unit retail. Comparable rental services revenue decreased 2.1 percent.
Jos. A. Bank comparable sales increased 7.8 percent, while K&G comparable sales decreased 1.7 percent. Moores reported comparable sales increase of 0.3 percent.
On a GAAP basis, net earnings were 58.5 million dollars compared to 25 million dollars last year. On an adjusted basis, net earnings were 58.5 million dollars compared to 48.1 million dollars last year. Diluted EPS was 1.19 dollars, an increase of 20.2 percent compared to 0.99 dollar last year.
FY17 GAAP diluted EPS expected to be between 1.42 to 1.62 dollars
The company now expects to achieve GAAP diluted EPS in the range of 1.42 dollars to 1.62 dollars, and adjusted diluted EPS of 1.65 dollars to 1.85 dollars. The company continues to expect comparable sales for Men's Wearhouse to be down low-single digits, Jos. A. Bank to increase mid-single digits, and K&G to be down mid-single digits. The company has updated its outlook for Moores and now expects comparable sales to be down low-single digits.
The company closed all 170 tuxedo shops at Macy's in the second quarter. In addition, the company continues to expect approximately net 20 store closures in 2017 resulting from its continuous review of its real estate portfolio.
Picture:Facebook/Jos A Bank