• Larry Thomas

Pier 1 Imports sales jump 9.6% in quarter

Record Thanksgiving weekend also drives 13% profit gain

FORT WORTH, Texas - Aided by a record-setting Thanksgiving weekend, retailer Pier 1 Imports said its profits jumped 13% in the quarter ended Nov. 30 on a sales increase of 9.6%.

The company said comparable-store sales rose 6.9%, giving it a three-year cumulative comparable-store increase of 21.8%.

"Our unique and special merchandise assortments created a well-positioned value offer that resonated with our customers," said Alex Smith, president and CEO. "Our more overtly promotional marketing stance drive strong traffic, and our store and e-commerce teams delivered on conversion."

Smith said the company set sales records for Black Friday and the post-Thanksgiving weekend.

Net sales for the quarter totaled $465.5 million, up from $424.6 million in the same quarter last year. Smith said the retailer's year-old e-commerce site accounted for about 4% of sales in the most recent quarter.

"Pier 1.com continues to outperform our expectations," he said, noting that the quarterly results reflected increase in traffic and conversion.

Net income was $26.8 million or 26 cents per share. That was up from $23.7 million or 22 cents per share in the comparable quarter.

For the nine months ended Nov. 30, sales totaled $1.26 billion, an increase of 8.9% from $1.15 billion in the first nine months of the previous fiscal year.

Nine-month net income was $64.9 million or 61 cents per share. That was a drop of 4.1% from $67.7 million or 62 cents per share in the comparable period.

During the third quarter, the retailer completed a $100 million stock repurchase program that was authorized in December 2012 and began a newly authorized $200 repurchase effort. About $20.9 million worth of share have been repurchased under the newest program.

Pier 1 also trimmed its earnings estimates for the fiscal year to $1.21 to $1.27 per share. That is down from a September estimate of $1.23 to $1.29 per share.

The company said it expects sales growth to be in the high single digits and comparable-store sales growth to be in the mid-single digits.

 

Larry ThomasLarry Thomas | News Editor, Furniture Today
lthomas@furnituretoday.com

Hi, I'm Larry Thomas, news editor of Furniture/Today. Since joining the staff in 1989, I’ve written about topics ranging from wicker chairs to proxy battles at public companies. In my new post as news editor, I oversee the news coverage for both the print edition and furnituretoday.com. I look forward to discussing key industry issues in this forum, and I welcome your thoughts and opinions.

VIDEOS

  • Deluge of rain didn't dampen full slate of new products

    Camera Icon More Videos

High Point Videos

Scott Brothers at High Point Market with Bill McLoughlin

See our videos from the Spring 2017 High Point Market featuring coverage of the Scott Brothers, Christopher Guy, 3D furniture printing, and our Habitat for Humanity building project. Video coverage sponsored by AcceptanceNOW.