Collective Brands Inc. (PSS) reported a narrower than expected quarterly loss on Tuesday, and saw revenue that beat analyst expectations.
The company, which owns Payless, among other shoe brands, reported a fourth-quarter loss of $10.9 million or 17 cents a share, which compares to a loss of $144 million or $2.28 per share one year ago. On an adjusted basis, the company saw a per-share loss of 18 cents, compared to a year-ago adjusted loss of 60 cents a share.
Net sales improved 0.9% to $741.7 million, compared to year-ago revenue of $735.2 million. Same-store sales increased 0.7%. Gross margin improved to 32.9%, up from 16.7%.
The results were better than expected; analysts had predicted a loss of 26 cents on $725 million in sales, according to a poll by Thomson Reuters.
"Our results were strong as we delivered fresh, innovative product throughout our portfolio of brands both domestically and internationally," said Chairman and Chief Executive Matthew E. Rubel in a statement. "This focus on the consumer led to improved gross margins that, combined with actions that lowered operating costs, drove an 11% increase in adjusted operating profit for the year."
Shares of Collective Brands rose 35 cents or 1.48% in the regular session on Tuesday, closing at $23.99 a share. The stock was down 44 cents or 1.83% in trading after hours.
