U.S. Movers: Conn

Mukesh Buch
05 Sep, 2012
New York City

Conn

[R]10:10 AM New York – Conn’s net swung to profit and increased guidance and discount retailer Dollar General net soared and reaffirmed fiscal outlook. FedEx lowered first quarter profit forecast and G-III Apparel net slipped 13% but lifted fiscal view. Pharmacyclics net loss widened.[/R]

Conn’s, Inc. ((CONN)) increased 4.9% or $1.18 to $25.13 after the consumer products retailer reported total revenues in the second quarter ending in July advanced 11% to $207.4 million from $187 million in the same period of last year. Same store sales increased 21.5% and furniture and mattress sales soared 57.5%.

Net income in the quarter swung to $11.6 million or 35 cents per diluted share compared to net loss of $3.1 million or 10 cents per share a year ago earlier. Retail gross margin in the quarter increased 530 basis points to 34.1%.

The retailer increased earnings guidance for the fiscal year diluted earnings per share of $1.40 to $1.50 and same stores sales are expected to increase 10% to 15%.

Dollar General Corporation ((DG)) gained 34 cents to $51 after the discount retailer reported total revenues in the second quarter ending on August 3 increased 10% to $3.95 billion from $3.58 billion in the same period of last year. Same store sales increased 5.1%.

Net income in the quarter jumped 47% to $214 million or 64 cents per diluted share compared to $146 million or 42 cents per share a year ago.

The discount retailer expects total sales for fiscal year to increase 8% to 9% and same store sales between 4% and 5% from the previous expectation of 3% to 5% and lifted adjusted earnings per share guidance to a range of $2.77 to $2.85.

FedEx Corporation ((FDX)) slipped 1.3% or $1.19 to $86.35 after the parcel delivery company lowered first quarter earnings estimate between $1.37 and $1.43 per diluted share from earlier forecast of $1.45 to $1.60 a share.

FedEx added earnings outlook during the quarter was lowered as weak global economy constrained revenue growth.

G-III Apparel Group, Ltd. ((GIII)) climbed 7.6% or $2.52 to $35.40 after the apparel and accessories maker reported total revenues in the second quarter ending in July climbed 9% to $251.5 million from $230 million in the same period of last year. Net income in the quarter slipped 13% to $1.4 million or 7 cents per diluted share compared to $1.6 million or 8 cents per share a year ago period.

The company revised fiscal year guidance for net sales of nearly $1.41 billion and net income between $55.2 million and $57.2 million or a range of $2.68 to $2.78 per diluted share.

Previously company issued guidance for fiscal year net sales of about $1.35 billion and net income between $54 million and $56 million or a range of $2.62 to $2.72 per diluted share.

Hi-Tech Pharmacal Co., Inc ((HITK)) plummeted 12.7% or $4.65 to $31.89 after the nutritional products maker reported total revenues in the first quarter ending in July slumped 7% to $52 million from $56.2 million in the same period of last year. Net income in the quarter plunged 57% to $6 million or 44 cents per diluted share compared to $13.8 million or $1.05 per share a year ago quarter.

The company said cost of goods sold increased 10% and amortization expense also increased 127% and gross profit in the quarter declined 24% to $25.3 million from a year ago period.

Pharmacyclics, Inc. ((PCYC)) declined 4.5% or $3.18 to $66.62 after the biopharmaceutical company reported total revenues in the fourth quarter ending in June climbed to $2.1 million from $1.4 million in the same period of last year. Net loss in the quarter widened to $16.9 million or 24 cents per diluted share compared to $11 million or 18 cents per share a year ago.