Mattress Firm Guides Q2 Above Consensus; Boosts FY14 Outlook

(RTTNews) - Bedding retailer Mattress Firm Holding Corp. (MFRM) said Monday that its second quarter preliminary net sales rose 35.5% to $410 million, reflecting same-store sales growth of 9.7% and the addition of new and acquired stores.

The company said it expects second quarter earnings to be $0.39 to $0.42 per share on a reported basis and $0.58 to $0.61 per share on an adjusted basis.

Analysts polled b Thomson Reuters currently expect the company to earn $0.49 per share on revenue of $384.56 million for the second quarter. Analysts' estimates typically exclude special items.

"Our sales performance has been consistently strong in recent months, which we believe is driven primarily by the continuation of our deliberate growth initiatives as well as the new luxury bedding models on our floors," said Steve Stagner, Mattress Firm's president and chief executive officer. "While consumer traffic continues to remain choppy, we are encouraged by continued improvement in consumer confidence and other economic indicators."

For the fiscal year 2014, the company now forecasts net sales of $1.545 billion to $1.585 billion, earnings of $1.59 to $1.65 per share and adjusted earnings of $2.03 to $2.13 per share. Previously, the company forecast net sales of $1.500 to $1.560 billion, earnings of $1.53 to $1.61 per share and adjusted earnings of $1.88 to $2.00 per share.

Analysts currently expect the comapny to earn $1.95 per share on revenue of $1.53 billion for the fiscal year 2014.

Mattress Firm shares are currently trading at $54.67, up $6.66 or 13.87%.