Shares of specialty retailer Conn’s, Inc. (CONN) are climbing more than 6% Wednesday morning after reporting better-than-expected second quarter results. Also, looking forward, the company has raised its full-year same store sales growth outlook to mid-teens from high single-digit.
Net income in the second quarter was $37.0 million, or $1.22 per share, compared with $20.5 million, or $0.70 per share in the same quarter a year ago.
Excluding items, earnings were $37 million or $1.22 per share. On average, 4 analysts polled by Thomson Reuters expected the company to report earnings of $0.71 per share.
Revenue for the quarter increased to $418.38 million from $36692 million last year. The consensus estimate was for $396.74 million.
The company’s same store sales increased 16.4% and eCommerce sales were up 210.9%.
“Strong retail performance combined with a second quarter credit spread of 1,200 basis points, contributed to record second quarter earnings per diluted share. In fact, earnings per diluted share of $2.74 for the first six months of the year are higher than any annual earnings in Conn’s 131-year history,” said Chandra Holt, Conn’s Chief Executive Officer.
During the second quarter, Conn’s has reduced its debt by 41% to $439.6 million.
CONN is at $26.25 currently. It has traded in the range of $9.06- $31.48 in the last one year.
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