The 10-second takeaway
For the quarter ended Oct. 27 (Q3), Chico's FAS met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share increased significantly.
Margins grew across the board.
Chico's FAS logged revenue of $636.7 million. The 15 analysts polled by S&P Capital IQ looked for sales of $634.2 million on the same basis. GAAP reported sales were 18% higher than the prior-year quarter's $538.5 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.25. The 19 earnings estimates compiled by S&P Capital IQ anticipated $0.22 per share. GAAP EPS of $0.25 for Q3 were 56% higher than the prior-year quarter's $0.16 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 57.2%, 120 basis points better than the prior-year quarter. Operating margin was 10.5%, 180 basis points better than the prior-year quarter. Net margin was 6.5%, 160 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $664.7 million. On the bottom line, the average EPS estimate is $0.20.
Next year's average estimate for revenue is $2.61 billion. The average EPS estimate is $1.13.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Chico's FAS is outperform, with an average price target of $20.07.
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