Destination Maternity Earnings: Here’s Why Shares are Up Now
Destination Maternity Corporation (NASDAQ:DEST) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are up 1.15%.
Destination Maternity Corporation Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 15.79% to $0.44 in the quarter versus EPS of $0.38 in the year-earlier quarter.
Revenue: Decreased 2.1% to $134.9 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Destination Maternity Corporation reported adjusted EPS income of $0.44 per share. By that measure, the company beat the mean analyst estimate of $0.43. It missed the average revenue estimate of $138 million.
Quoting Management: Ed Krell, Chief Executive Officer of Destination Maternity Corporation, noted, “We are pleased with our continued positive momentum in delivering increases in earnings and comparable sales during the second quarter, despite very unfavorable weather conditions for the month of March. Our second quarter fiscal 2013 diluted earnings per share of $0.44 were 16% higher than last year’s second quarter diluted earnings of $0.38 per share, and were at the top end of our prior earnings guidance range of $0.38 to $0.44 per share that we provided in our January 31, 2013 press release. This represents our third consecutive quarter of achieving both a comparable sales increase and a significant increase in earnings over the prior year, showing the continued progress we have made with our sales initiatives, while maintaining strong operational and expense discipline.”
Key Stats (on next page)…