Big Lots Falls Despite Earnings Surprise, Fred's Net Swing to Loss

Mukesh Buch
29 Aug, 2014
New York City

Big Lots net and sales rose 1.7%. Fred''''s net swung to a loss on weak sales data. OmniVision profit surged after revenue climbed 9%. Net 1 UEPS net soared on 55% increase of revenue. Signet Jewelers net declined 14%.

[R]12:35 PM New York – Big Lots net and sales rose 1.7%. Fred''s net swung to a loss on weak sales data. OmniVision profit surged after revenue climbed 9%. Net 1 UEPS net soared on 55% increase of revenue. Signet Jewelers net declined 14%.[/R]

Tollbooth Index gained 0.3% or 24.33 to 9,530.73.

Earnings Review

Big Lots, Inc ((BIG)) slumped 2% or 95 cents to $46.25 after the closeout retailer reported net sales the second-quarter ending on August 2 grew 1.7% to $1.20 billion from a year ago period. Comparable store sales in the quarter increased 1.7%.

Net income in the quarter rose 1.7% to $19.9 million or 36 cents a diluted share compared to $18.1 million or 31 cents from a same quarter last year.

The deep discount retailer lifted the bottom end of its continuing earnings estimate by 5 cents to a range between $2.40 and $2.50 per share. Same store sales in the quarter increased 1.7%, in the middle of the range between 1% and 3%.

Fred''s, Inc ((FRED)) declined 4.3% or 65 cents to $14.38 after the discount general merchandise stated total sales the second-quarter ending on August 2 increased 2% to $491.2 million from a year ago period. Comparable store sales in the quarter slid 0.1%.

Net in the quarter swung to a loss of $16.4 million or 45 cents a diluted share compared to profit $3.3 million or 9 cents from a same quarter last year.

OmniVision Technologies, Inc ((OVTI)) slipped 8 cents to $27.10 after the image-sensor device maker said revenue in the first-quarter ending in July climbed 8.8% to $406.5 million from a year ago period.

Net income in the quarter surged 96% to $45.3 million or 78 cents a diluted share compared to $23.1 million or 42 cents from a same quarter last year.

The company forecasted revenues for the second-quarter in the range of $360 million to $390 million and diluted earnings per share between 29 cents and 45 cents.

Net 1 UEPS Technologies Inc ((UEPS)) soared 7.2% or 84 cents to $12.54 after the South Africa-based payment solution provider stated revenuein the fourth-quarter ending in June jumped 55% to $182.8 million from a year ago period.

Net earnings in the quarter soared 245% to $28.6 million or 59 cents a diluted share compared to $8.3 million or 18 cents from a same quarter last year.

Signet Jewelers Ltd ((SIG)) gained 67 cents to $117.04 after the Bermuda-based jewelry and watches retailer reported total sales the second-quarter ending on August 2 climbed 39.3% to $1.22 billion from a year ago period. Same store sales in the quarter jumped 4.8%.

Net income in the quarter declined 13.9% to $58 million or 72 cents a diluted share compared to $67.4 million or 84 cents from a same quarter last year.