S&P 500 (NYSE:SPY) component Limited Brands, Inc. (NYSE:LTD) reported its results for the first quarter. Limited Brands, Inc. is a specialty retailer of women’s apparel, beauty and personal care products and accessories operating under various trade names.
Limited Brands Earnings Cheat Sheet for the First Quarter
Results: Net income for Limited Brands, Inc. rose to $165.2 million (50 cents/share) vs. $112.5 million (34 cents/share) in the same quarter a year earlier. A rise of 46.8% from the year earlier quarter.
Revenue: Rose 15% to $2.22 billion YoY.
Actual vs. Wall St. Expectations: LTD reported adjusted net income of of 40 cents/share. By that measure, the company beat the mean estimate of 39 cents/share. Estimates ranged from 36 cents per share to 43 cents per share.
Quoting Management: Leslie H. Wexner, chairman and chief executive officer of Limited Brands, stated, “With a disciplined approach to managing our business, we delivered record first quarter results. I am proud of our team’s focus on the fundamentals and brand building…we will strive to get even better.”
Last quarter marked the fifth consecutive quarter of gross margins expanding as the company’s gross margin expanded two percentage points to 38% from the year earlier quarter. Over that span, margins have grown on average 2.7 percentage points per quarter on a year-over-year basis.
The company has now seen net income rise in three-straight quarters. In the fourth quarter of the last fiscal year, net income rose 27.2% and in the third quarter of the last fiscal year, the figure rose more than fourfold.
Revenue has risen the past four quarters. Revenue increased 12.8% to $3.46 billion in fourth quarter of the last fiscal year. The figure rose 11.6% in third quarter of the last fiscal year from the year earlier and climbed 8.5% in second quarter of the last fiscal year from the year-ago quarter.
Competitors to Watch: New York & Company, Inc. (NYSE:NWY), Express, Inc. (NYSE:EXPR), The Wet Seal, Inc. (NASDAQ:WTSLA), Christopher & Banks Corp. (NYSE:CBK), Chico’s FAS, Inc. (NYSE:CHS), Ann Inc (NYSE:ANN), Coldwater Creek Inc. (NASDAQ:CWTR), Ascena Retail Group Inc (NASDAQ:ASNA), Charming Shoppes, Inc. (NASDAQ:CHRS), and The Talbots, Inc. (NYSE:TLB).
Stock Performance: Shares of LTD are down 1% from the previous close.