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What: Shares of Conns (Nasdaq: CONN ) have soared today by as much as 10%, after the company reported sales figures for its most recent quarter.
So what: Revenue in the third quarter was $167.3 million. Same stores sales were up 12.6%, and the company closed the quarter with 65 stores. Gross margin expanded a healthy 970 basis points, to 35%. Furniture and mattress sales were particularly strong, while consumer electronic sales lagged.
Now what: Home appliance units fell, but was partially offset by an increase in average selling price. Store closures also contributed to declining unit volumes. The strength in furniture and mattress sales was attributed to enhanced presentation and product selection combined with increased promotional activity.
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