The 10-second takeaway
For the quarter ended Jan. 28 (Q4), Dillard's beat slightly on revenues and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded and GAAP earnings per share grew significantly.
Gross margins shrank, operating margins expanded, net margins expanded.
Dillard's recorded revenue of $1.42 billion. The three analysts polled by S&P Capital IQ predicted a top line of $1.39 billion on the same basis. GAAP reported sales were 1.6% higher than the prior-year quarter's $1.98 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Non-GAAP EPS came in at $0.48. The three earnings estimates compiled by S&P Capital IQ predicted $0.32 per share on the same basis. GAAP EPS of $2.77 for Q3 were 59% higher than the prior-year quarter's $1.74 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 35.3%, 30 basis points worse than the prior-year quarter. Operating margin was 9.5%, 50 basis points better than the prior-year quarter. Net margin was 7.0%, 150 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $2.01 billion. On the bottom line, the average EPS estimate is $2.05.
Next year's average estimate for revenue is $6.40 billion. The average EPS estimate is $4.13.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 154 members out of 389 rating the stock outperform, and 235 members rating it underperform. Among 139 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 57 give Dillard's a green thumbs-up, and 82 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Dillard's is hold, with an average price target of $50.33.
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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.