PERRY ELLIS STOCK SOARS ON HUGE PROFIT INCREASE
Perry Ellis International, Inc’s stock soared, rising over 13 percent in Thursday trading, after reporting strong financial results for the first quarter ended April 30, 2016.
As reported under GAAP, fiscal 2017 first quarter profit was $14.3 million, or $0.95 per diluted share, as compared to $9.4 million, or $0.62 per diluted share, in the first quarter of fiscal 2016. Adjusted earnings before interest, taxes, depreciation and amortization for the first quarter of fiscal 2017 totaled $26.1 million as compared to $24.7 million in the comparable period of the prior year. Increased sales were reported across the company’s core global brands, Perry Ellis and Original Penguin, as well as in its Golf Lifestyle apparel business.
“Our favorable performance continues to demonstrate the success of our strategy that focuses on increasing sales of our higher margin branded, international, license and direct-to-consumer businesses platforms,” said Oscar Feldenkreis, the CEO of Perry Ellis International. We are especially pleased to deliver these results in a continuing difficult global economic environment, further validating the increasing strength of our diversified operating platform and powerful lifestyle brands.”
The company also updated its guidance for the rest of the year. George Feldenkreis, executive chairman of Perry Ellis International, commented, “As we look ahead to the remainder of the year, we now expect to generate adjusted earnings per share in a range of $1.95 to $2.00 for fiscal 2017, up from our previous guidance of $1.90 to $1.95. We do believe, however, that the strength of the U.S. dollar and the changing consumer spending patterns for international tourists in the U.S., along with the volatility in the global environment, will remain a headwind. Nonetheless, we remain focused on the strategic growth opportunities ahead of us.”
