Pacific Sunwear Sales Miss Expectations
Pacific Sunwear of California Inc. posted a 15% rise in fiscal fourth-quarter profit, but sales at the surfing-inspired youth apparel retailer fell 3.1% in February at established stores.
The Anaheim-based company said net income in the quarter ended Jan. 28 was $47 million, or 63 cents a share, compared with $40.7 million, or 54 cents, a year earlier.
The profit matched analysts’ expectations, according to Reuters Estimates, but a 12% rise in sales to $424.9 million fell short of Wall Street estimates of $427.5 million.
Pacific Sunwear’s signature PacSun stores posted a 4% decrease in sales at locations open at least a year, and its d.e.m.o stores, which feature more urban fashions influenced by hip-hop, increased 0.8%.
The company, which plans to launch a shoe chain called One Thousand Steps in the first half, said it was being cautious in its targets for the fiscal first quarter and was comfortable with estimates of 19 cents to 21 cents a share. For the full fiscal year, the company said earnings would increase 10% to 15%.
Pacific Sunwear shares fell nearly 4% to $22.90 in after-hours trading after closing at $23.81, down 34 cents.
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