Guess Shares Up 15% On Q1 Results

(RTTNews) - Shares of Guess Inc. (GES) jumped over 15 percent on extended hours on Wednesday after the apparel retailer reported a first-quarter results that trumped Wall Street expectations.

Guess' first-quarter loss narrowed to $21.3 million or $0.26 per share from $25.2 million or $0.30 per share last year. Adjusted loss for the quarter were $19.4 million or $0.24 per share. Analysts polled by Thomson Reuters estimated loss of $0.32 per share for the quarter.

Revenues for the quarter increased 2.2 percent to $458.6 million from $448.8 million last year. Analysts had a consensus revenue estimate of $449.2 million for the quarter.

Americas retail revenues dropped 14.9 percent, while wholesale revenue increased 5.7 percent. For the quarter, revenues at European business segment gained 23.3 percent and Asia revenues increased 16.9 percent.

Victor Herrero, Chief Executive Officer, commented, "We are pleased to report that our first quarter results finished above the high-end of our expectations for revenues, adjusted operating margin and earnings per share. We continued to see strong performance in our international businesses."

"In the Americas, as the performance of our business and the environment remain soft, we are more than ever focused on shrinking our footprint and profitability improvements."

The company declared a quarterly dividend of $0.225 per share, payable June 23 to shareholders of June 7.

Looking forward to the second quarter, Guess expects adjusted earnings of $0.08 to $0.11 per share and revenues to increase between 2 to 4 percent. Analysts currently estimate loss of $0.12 per share and revenues to increase 2.70 percent.

For the full year, Guess expects revenue growth of 3.5 to 5.0 percent and earnings of $0.34 to $0.44 per share. Analysts currently estimate earnings of $0.33 per share on revenue growth of 2.10 percent for the year.

GES closed Wednesday's trading at $9.98, down $0.08 or 0.80%, on the NYSE. The stock, however, gained $1.58 or 15.83% in the after-hours trading.