Discount shoe retailer DSW Inc. shares surged 13% premarket, after the company posted its first positive same-store sales number since 2015. Columbus, Ohio-based DSW said it had net income of $28.6 million, or 35 cents a share, in the second quarter, up from $25.0 million, or 30 cents a share, in the year-earlier period. Adjusted per-share earnings came to 38 cents, ahead of the FactSet consensus of 29 cents. Sales rose 3.3% to $680.4 million, ahead of the FactSet consensus of $666 million. Same-store sales rose 0.6%, compared with a FactSet consensus for a decline of 2.0%. "We were pleased to report our first positive comp quarter since 2015," Chief Executive Roger Rawlins said in a statement. "This resulted in a healthy increase in regular priced sales and improvements across all selling metrics." Rawlins said the current turmoil in the retail sector was an opportunity to acquire market share and said the company is gearing up to unveil several new initiatives that are expected to boost brand loyalty. DSW is still expected full-year adjusted EPS of $1.45 to $1.55, compared with a current FactSet consensus of $1.44. Shares are down 31% in 2017, while the S&P 500 has gained 8.4%.
Continue Reading Below
Copyright © 2017 MarketWatch, Inc.