Dillard's 1Q Net Income Up 21 Percent, Same-Store Sales Up 2 Percent

by Arkansas Business Staff  on Thursday, May. 17, 2018 6:53 am   1 min read

A Dillard's department store in Little Rock. (Stephanie Dunn)

Dillard's Inc. of Little Rock on Thursday reported first-quarter net income of $80.5 million, up 21 percent from the $66.3 million it reported in the same quarter last year. Same-store sales rose 2 percent.

The publicly traded department store chain (NYSE: DDS) said quarterly earnings per share were $2.89, up from $2.12 per share in the same quarter last year, beating analysts' estimates. Net sales, which include revenue from the company's construction firm, CDI Contractors, were $1.46 billion, up from $1.42 billion.

"Our positive sales momentum continued into the first quarter," Dillard's CEO William T. Dillard said. "We believe this indicates our customer is more comfortable spending in this economic environment, and we hope the positive trend continues. We executed $35 million of share repurchases during the quarter, completing the amount authorized under our February 2016 program."

Total merchandise sales, which excludes CDI, were $1.41 billion, up 2 percent from $1.39 billion in the same period last year. Same-store sales, a key metric in retail, also increased 2 percent. 

Dillard's cited strong sales of home and furniture; ladies' accessories and lingerie; and juniors' and children's apparel. Sales were on trend in ladies' appare and "notably below trend" in shoes. Sales were strongest in the chain's Western region, followed by the Eastern and Central regions, respectively.

During the quarter, the company purchased $34.8 million worth of Class A Common Stock, completing authorized purchases under a $500 million program in February 2016. In March, the company's board of directors authorized a new $500 million share repurchase program.

Dillard's operates 267 stores and 25 clearance centers in 29 states.

 

 

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