Francesca's Q2 Profit Declines; Issues Q3 Outlook - Quick Facts

(RTTNews) - Francesca's Holdings Corp. (FRAN) reported that its second-quarter net income decreased to $9.3 million or $0.22 per share from $10.3 million or $0.24 per share in the comparable quarter last year.

On average, 16 analysts polled by Thomson Reuters expected the company to report profit per share of $0.22 for the quarter. Analysts' estimates typically exclude special items.

Net sales increased 9% to $106.03 million from $97.32 million in the prior year period. The company noted that this increase was driven by 82 new boutiques opened since the comparable prior year quarter. We opened 19 boutiques during the quarter bringing the total boutique count to 608 at the end of the second quarter. Comparable sales decreased 4% due to lower comparable transactions. Analysts expected revenue of $105.66 million for the quarter.

Looking ahead to the third quarter, the company expects earnings per share to be in the range of $0.12 to $0.15 and net sales in the range of $98.0 million to $101.0 million; assuming a low single digit decrease to flat comparable sales. Analysts expect the company to report third-quarter earnings per share of $0.18 on revenue of $98.06 million.

For the full year ending January 30, 2016, Francesca's Holdings now expects earnings to be in the range of $0.83 to $0.88 per share and net sales to be in the range of $416.0 million to $424.0 million; assuming a low single digit decrease in comparable sales. Analysts now expects full year earnings of $0.83 per share and revenue of $419.03 million.

Earlier, the company expected earnings per share to be in the range of $0.81 to $0.90 and net sales in the range of $412.0 million and $424.0 million; assuming a flat to low single digit decrease in comparable sales.