Chicos FAS reports turnaround in Q4FY17 net income

February 27, 2017 - United States Of America

For the three months ended January 28, 2017, Chicos FAS, a marketer of apparel reported a turnaround in its net income, which amounted to $13.5 million as against net loss of $21.1 million in the prior fiscal’s fourth quarter. Resultantly, earnings per diluted share stood at $0.10 per diluted share compared to loss per diluted share at $0.16.

For the fourth quarter of fiscal 2017, net sales were $600.8 million, down 4.9 per cent vis-à-vis $631.6 million in the earlier fiscal’s same quarter, with the decline attributed to sale of Boston Proper in the 2017 fiscal.

When excluding Boston Proper from fourth quarter of fiscal 2016 sales, net sales in the reporting quarter were down 2.3 per cent year on year.

Comparable sales also fell 2.5 per cent in the quarter under review, which comprised of reduced transaction count, offset by an increase in average dollar sales.

"We are extremely pleased with our results this quarter," CEO Shelley Broader said."We drove significant earnings growth, highlighted by gross margin expansion, SG&A leverage, and a substantial increase in operating margin.” (AR)