Express Beats Profit And Sales Estimates As E-commerce Grows 28%

Express Inc. shares soared 11% in premarket trade Wednesday, after the company topped second-quarter earnings estimates. The apparel retailer said it had a net loss of $11.8 million, or 15 cents a share, in the second quarter, after net income of $10.1 million, or 13 cents a share, in the year-earlier period. Adjusted per-share earnings came to 1 cent, better than the FactSet consensus for a loss of 1 cent. Sales fell to $478.5 million from $504.8 million, but were ahead of the FactSet consensus of $474 million. Same-store sales fell 4%, but were better than the FactSet consensus for a decline of 5.2%. "Comparable sales and earnings were at the top end of our guidance, as our key initiatives gained further traction," Chief Executive David Kornberg said in a statement. The company's e-commerce sales rose 28%, while store comps delivered sequential improvement, he said. The company is now expecting third-quarter same-store sales to be down in the low single digits and for EPS to range from 6 cents to 10 cents. The FactSet consensus is for third-quarter same-store sales to fall 1.8% and for EPS of 11 cents. Shares are down 49% in 2017, while the S&P 500 has gained 9.5%.