On May 23, Ross Stores (NASDAQ:ROST) released earnings for the first quarter ended May 5.
- Earnings climbed 13.2% as the discount retailer earned $67 million.
- Total sales increased 9.2% to $1.4 billion, although same-store sales were flat.
- During the quarter, the company repurchased 1.5 million of its common shares.
- Ross Stores is a two-star stock (out of a possible five) in Motley Fool CAPS.
(Figures in millions, except per-share data.)
Income Statement Highlights
|
Q1 2007 |
Q1 2006 |
Change | |
|---|---|---|---|
|
Sales |
$1,410.5 |
$1,291.7 |
9.2% |
|
Net Profit |
$67.0 |
$59.2 |
13.2% |
|
EPS |
$0.48 |
$0.41 |
17.1% |
|
Diluted Shares |
139.6 |
144.2 |
(3.2%) |
Get back to basics with the income statement.
Margin Checkup
|
Q1 2007 |
Q1 2006 |
Change* | |
|---|---|---|---|
|
Gross Margin |
24.0% |
23.4% |
0.6 |
|
Operating Margin |
7.7% |
7.4% |
0.3 |
|
Net Margin |
4.8% |
4.6% |
0.2 |
Margins are the earnings engine.
Balance Sheet Highlights
|
Assets |
Q1 2007 |
Q1 2006 |
Change |
|---|---|---|---|
|
Cash + ST Invest. |
$205.9 |
$188.3 |
9.4% |
|
Accounts Rec. |
$36.9 |
$36.0 |
2.5% |
|
Inventory |
$1,101.5 |
$980.0 |
12.4% |
|
Liabilities |
Q1 2007 |
Q1 2006 |
Change |
|---|---|---|---|
|
Accounts Payable |
$919.4 |
$852.3 |
7.9% |
|
Long-Term Debt |
$150.0 |
$0.0 |
N/A |
The balance sheet reflects the company's health.
Cash Flow Highlights
|
Q1 2007 |
Q1 2006 |
Change | |
|---|---|---|---|
|
Cash from Ops |
($66.0) |
$105.5 |
N/A |
|
Capital Expenditures |
$47.4 |
$18.0 |
162.9% |
|
Free Cash Flow |
($113.4) |
$87.4 |
N/A |
Free cash flow is a Fool's best friend.
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Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean.
At the time of publication, Fool contributor Mike Cianciolo held no position in Ross Stores.