Cache Earnings: Everything You Must Know Now

Cache Inc. (NASDAQ:CACH) had a loss and met Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company.

Cache Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased to $-0.12 in the quarter versus EPS of $0.06 in the year-earlier quarter.

Revenue: Decreased 2.48% to $60.1 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Cache Inc. reported adjusted EPS loss of $0.12 per share. By that measure, the company met the mean analyst estimate of $-0.12. It beat the average revenue estimate of $59.63 million.

Quoting Management: Jay Margolis, Chairman and Chief Executive Officer, commented: “We are pleased with the progress made toward our strategic objectives during the second quarter. During the quarter, we focused on clearing assortments that were not consistent with our go-forward merchandising plan and significantly reducing promotional activity on the web while continuing to make strategic hires to allow us to drive our business forward. While our turnaround efforts negatively impacted profitability in the quarter, this activity allowed us to begin the third quarter in an improved position. Following quarter end, we announced a new credit facility which enhances our financial flexibility to pursue our initiatives. I am pleased to welcome our new Chief Financial Officer, Tony DiPippa to Cache and believe he will make a significant contribution to the company.”

Key Stats (on next page)…

Revenue increased 12.32% from $53.51 million in the previous quarter. EPS increased to $-0.12 in the quarter versus EPS of $-0.51 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a loss of $0.16 to a loss $0.14. For the current year, the average estimate has moved down from a loss of $0.17 to a loss of $0.64 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)