Family Dollar Stores Earnings: Here’s Why Investors are Buying Shares Now
Family Dollar Stores Inc. (NYSE:FDO) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 2%.
Family Dollar Stores Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased 0.94% to $1.05 in the quarter versus EPS of $1.06 in the year-earlier quarter.
Revenue: Rose 9.05% to $2.57 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: Family Dollar Stores Inc. reported adjusted EPS income of $1.05 per share. By that measure, the company beat the mean analyst estimate of $1.03. It beat the average revenue estimate of $2.57 billion.
Quoting Management: “This morning we reported sales and earnings results for the third quarter that were at the upper-end of our guidance,” said Howard R. Levine, Chairman and CEO. “Our consumables sales remained strong and we continued to gain market share. However, our discretionary sales remained challenged as our customers have been forced to make spending choices between basic needs and wants. Consistent with market trends, we expect that our customers will continue to face financial headwinds. We are adapting accordingly, and we are focused on stabilizing gross margin, controlling expenses, improving inventory productivity, and driving greater operational efficiencies. I am confident that we remain well positioned for long-term profitable growth.”
Key Stats (on next page)…