BJ's Raises Guidance After Solid 1Q
Home Accents Today Staff -- Home Accents Today, May 24, 2010
BJ's beat estimates during the first quarter, with net income up 7.4% to $26.1 million, or 49 cents per share.
Sales for the quarter ended May 1 climbed 12.9% to $2.55 billion, and comparable club sales increased by 7.8%. Excluding the impact of gasoline, merchandise comparable club sales increased by 4.2%.
The company “saw a nice lift” in some discretionary categories during the quarter, according to Laura Sen, president and ceo. They included domestics, apparel, seasonal, housewares, furniture and appliances.
Traffic was up 4% following a 7% increase in last year's 1Q.
After reporting the results, the warehouse club retailer raised its earnings guidance for the year to earnings per share of $2.58 to $2.68. Previously, BJ's had projected EPS of $2.54 to $2.64.
The company plans to open seven clubs this year.