Chico's Misses Profit And Sales Expectations, Provides Downbeat Outlook

Chico's FAS Inc. reported a fiscal first-quarter net profit that rose to $33.6 million, or 26 cents a share, from $31.1 million, or 23 cents a share, in the same period a year ago. The FactSet consensus for earnings per share was 29 cents. The women's apparel retailer said revenue dropped to $583.7 million from $643.0 million, missing the FactSet consensus of $624.8 million. Overall same-store sales declined 8.7%, compared with the FactSet consensus of a 2.2% decline, amid big misses at Chico's and White House Black Market stores and an inline performance at Soma. The company expects 2017 same-store sales to decline in the "mid single-digit" percentage range, while the FactSet consensus was for a decline of 1.7%. The stock, which was still inactive in premarket trade, has tumbled 23% year to date, while the SPDR S&P Retail ETF has lost 8% and the S&P 500 has gained 7.1%.