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J. Crew's First-Quarter Net Profit More Than Triples

Reuters
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Apparel retailer J. Crew Group posted better-than-expected quarterly profit on Thursday that more than tripled on higher margins and sales at existing stores, boosting shares 4% in
extended trade.

J. Crew, based in New York, said net income for the first quarter was $24.6 million, or 39 cents per share, up from $7.8 million, or 12 cents per share, a year ago.

Analysts on average were expecting 30 cents per share, according to Reuters Estimates.

Total revenue rose 24% to $297.3 million, as sales at stores open at least a year, the key retail metric known as same-store sales, rose 13%, helped by a shift in this year's retail calendar.

Gross margin increased 110 basis points, the company said.

The company said its long-term annual financial outlook assumed same-store sales growth in the mid single-digit range and earnings-per-share growth in excess of 20%.

Analysts on average were expecting $1.32 per share, excluding items, for the full year, according to Reuters Estimates.

J. Crew shares rose $1.88 to $46.75 in extended trade, after closing at $44.87 on the New York Stock Exchange, which was up 7.7%.