By Dhirendra Tripathi
Investing – Lands’ End (NASDAQ:LE) shares popped in premarket trade Wednesday after the company surprised the market with a quarterly profit and revised guidance higher.
The apparel retailer reported a profit of 8 cents per share for the quarter when it was expected to show a loss of 47 cents.
Net revenue for the quarter ended April 30 came at $321.3 million, 48.1% higher year-on-year and also higher than the same quarter of the pre-pandemic 2019.
The retailer of casual wear and accessories benefited from the Covid-driven growth in ecommerce sales as customers opted for comfortable clothing while being home.
Total global ecommerce customer file expanded by 27% with 71% growth in new customers driven by more brands being added to the catalog.
It swung to a net income of $2.6 million from a net loss of $20.6 million in the same period last year.
It has now forecast for fiscal 2021 net revenue to be between $1.61 billion and $1.65 billion. At its March 17 presentation, the company had guided that to come in the range of $1.52 billion to $1.57 billion.
Adjusted earnings before interest, taxes, depreciation and amortization is forecast to come between $114 million and $122.0 million, as against the $88 million-$98 million range given earlier.