Zumiez Inc. Earnings Cheat Sheet: Swing to a Profit, Beating Estimates

Zumiez Inc. (NASDAQ:ZUMZ) reversed to a profit in the second quarter, beating Wall Street estimates. Zumiez Inc. is a mall based specialty retailer of action sports related apparel, footwear, equipment and accessories operating under the Zumiez brand name.

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Zumiez Earnings Cheat Sheet for the Second Quarter

Results: Swung to a profit of $2.6 million (8 cents per diluted share) in the quarter. Zumiez Inc. had a net loss of $1.2 million or a loss 4 cents per share in the year earlier quarter.

Revenue: Rose 14.9% to $112.2 million from the year earlier quarter.

Actual vs. Wall St. Expectations: ZUMZ beat the mean analyst estimate of 5 cents per share. Analysts were expecting revenue of $112.2 million.

Quoting Management: Rick Brooks, Chief Executive Officer of Zumiez Inc., stated, “We are pleased with the sales and earnings growth we delivered for the quarter.Our merchandise and expansion strategies are driving improvements across our business and are continuing to strengthen Zumiez’s position as the leading action sports retailer.We remain optimistic that our diverse product offering, compelling mix of brands, and commitment to customer service will distinguish our concept further from the promotional competition and provide us with strategic advantages during the key upcoming selling seasons.”

Key Stats:

The company has enjoyed double-digit year-over-year percentage revenue growth for the past five quarters. Over that span, the company has averaged growth of 17.3%, with the biggest boost coming in the third quarter of the last fiscal year when revenue rose 20% from the year earlier quarter.

The company has now topped analyst estimates for the last four quarters. It beat the mark by 4 cents in the first quarter, by 2 cents in the fourth quarter of the last fiscal year, and by 3 cents in the third quarter of the last fiscal year.

Competitors to Watch: Pacific Sunwear of California, Inc. (NASDAQ:PSUN), Aeropostale, Inc. (NYSE:ARO), American Eagle Outfitters (NYSE:AEO), Abercrombie & Fitch Co. (NYSE:ANF), Urban Outfitters, Inc. (NASDAQ:URBN), The Buckle, Inc. (NYSE:BKE), The Wet Seal, Inc. (NASDAQ:WTSLA), Hot Topic, Inc. (NASDAQ:HOTT), Jos. A. Bank Clothiers, Inc. (NASDAQ:JOSB), and The Men’s Wearhouse, Inc. (NYSE:MW).

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(Source: Xignite Financials)

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