Home / Knowledge / News / Apparel/Garments / Express raises full year 2011 guidance
Express raises full year 2011 guidance
25
May '11
Express Inc, a specialty retail apparel chain operating over 590 stores, announced its first quarter financial results for the thirteen week period ended April 30, 2011, which compares to the thirteen week period ended May 1, 2010.

Michael Weiss, Express, Inc.'s President and Chief Executive Officer commented: "We had a strong start to the year reporting better-than-expected comparable sales and earnings, continuing our positive momentum from 2010. The ongoing execution of our go-to-market strategy and progress against our four growth pillars provided us with a sustained platform for growth and led to a 10% increase in net sales, an 8% increase in comparable sales, a 130 basis point expansion in gross margin, and a 35% increase in operating income in the first quarter as compared to a year ago."

"We are excited about our positioning as we begin the second quarter," Mr. Weiss continued. "Customers are responding favorably to our assortments across our end uses; our store expansion remains on track, including the scheduled opening of our first locations in Canada in September of 2011; and we have additional initiatives in place to elevate our brand positioning with consumers as we test our innovative new store format, enhance our loyalty program, and capitalize on social media marketing opportunities. We are delighted to raise our full year guidance and expect 2011 to represent a year of significant accomplishments toward our long-term goals."

First Quarter Operating Results:

• Net sales increased $40.9 million, or 10%, to $467.4 million from $426.5 million in the first quarter of 2010;
• Comparable sales increased 8% in the first quarter following a 14% increase in comparable sales in the first quarter of 2010;
• Gross margin increased approximately 130 bps to 38.2% compared to 36.9% in the first quarter of 2010;
• Selling, general, and administrative (SG&A) expenses totaled $109.5 million, or 23.4% of net sales, and included $0.6 million of costs related to the secondary offering completed on April 6, 2011. This compares to SG&A expenses of $102.9 million, or 24.1% of net sales, in the first quarter of 2010, which included $1.8 million in costs related to the Senior Notes offering completed on March 5, 2010 along with a portion of the costs related to the initial public offering completed on May 18, 2010;
• Operating income increased $18.1 million, or 35%, to $69.4 million, or 14.9% of net sales, compared to $51.3 million, or 12.0% of net sales, in the first quarter of 2010;
• Interest expense totaled $11.0 million and included a $3.5 million loss on extinguishment of debt related to the repurchase of $25.0 million of Senior Notes. This compares to interest expense of $20.8 million in the first quarter of 2010, which included a $7.2 million loss on extinguishment of debt related to the Term C Loan prepayment;
• Income tax expense was $23.4 million, at an effective tax rate of approximately 40.1%, compared to tax expense of $0.4 million, at an effective tax rate of approximately 1.2%, in the first quarter of 2010. The increase in the effective tax rate is a result of the Company's conversion to a corporation in connection with its initial public offering in the second quarter of 2010;

Must ReadView All

Textiles | On 29th Apr 2017

Textile sector may have uniform GST rate: Irani

The textile sector could have a uniform Goods and Services Tax (GST)...

Textiles | On 30th Apr 2017

Government revamping tech mission on cotton

Indian Government is working to revamp the technology mission on...

Apparel/Garments | On 30th Apr 2017

Columbia Sportswear records Q1 net sales of $543.8 mn

Columbia Sportswear Company has announced record net sales of $543.8...

Interviews View All

Rashi Menda
Zapyle

Every fifth sale we make on Zapyle is a repeat purchase

Siddharth Biyani
Mangalam Industries Pvt Ltd

‘The manufacturing sector is improving day-by-day, becoming better in...

Dharmendra Shah
Ozone PB Spintex Limited

‘We have made huge investments to ensure quality yarn production.’

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
April 2017

April 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search



X