Children's Place Retail's Q3 earnings exceed expectations

The Company updated its earnings guidance for fiscal 2012 and now projects that non-GAAP adjusted earnings per diluted share will be between $3.10 and $3.15, compared to its previous guidance of $3.20 to $3.30, assuming positive low-single digit comparable retail sales.

The Company provided initial guidance for the fourth quarter of 2012, and is forecasting non-GAAP adjusted earnings per diluted share between $1.01 and $1.06, assuming positive low-single digit comparable retail sales.

The Company now expects gross margin to expand 170 to 190 basis points in the fourth quarter, and to deleverage 50 to 70 basis points for fiscal 2012. SG&A is expected to be flat as a percent of sales in the fourth quarter, and to deleverage 10 to 20 basis points for fiscal 2012.

This earnings guidance assumes that currency exchange rates will remain consistent with today's rates, and does not include the impact of further potential share repurchases.

Children's Place Retail Stores Inc