ANN INC. (ANN), a leading women's specialty retail fashion brands retailer has reported a 161.47 percent jump in profit for the quarter ended May 02, 2015. The company has earned $13.55 million, or $0.29 a share in the quarter, compared with $5.18 million, or $0.11 a share for the same period last year. Revenue during the quarter went up marginally by 1.21 percent to $597.73 million from $590.59 million in the previous year period. Gross margin for the quarter contracted 106 basis points over the previous year period to 52.31 percent. Total expenses were 96.22 percent of quarterly revenues, down from 98.44 percent for the same period last year. This has led to an improvement of 222 basis points in operating margin to 3.78 percent.
Operating income for the quarter was $22.57 million, compared with $9.22 million in the previous year period.
Kay Krill, president and chief executive officer, commented, "ANN INC. delivered bottom-line results for the quarter that exceeded our expectations. We were able to achieve these results, despite softer-than-anticipated gross margin performance, through continued effective management of expenses. Overall, we continue to focus on delivering meaningful growth on both the top and bottom lines as the year progresses."
For the second-quarter, ANN INC. projects revenue to be $660 million. ANN INC. projects revenue to be $2,560 million for financial year 2015. For the second-quarter, Anntaylor Stores Corp forecasts revenue to grow in the range of percent to percent.
Working capital increases
ANN INC. has recorded an increase in the working capital over the last year. It stood at $284.98 million as at May 02, 2015, up 17.78 percent or $43.01 million from $241.96 million on May 03, 2014. Current ratio was at 1.86 as on May 02, 2015, up from 1.80 on May 03, 2014. Cash conversion cycle (CCC) has decreased to 54 days for the quarter from 57 days for the last year period. Days sales outstanding were almost stable at 6 days for the quarter, when compared with the last year period.
Days inventory outstanding has increased to 88 days for the quarter compared with 86 days for the previous year period. At the same time, days payable outstanding went up to 40 days for the quarter from 34 for the same period last year.
Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: [email protected]
