©Reuters. Ross Stores (ROST) beats expectations for fourth-quarter earnings and revenue
Shares of Ross Stores (NASDAQ:) remained stable in after-hours trading Tuesday after the company reported better-than-expected earnings and revenue for the fiscal fourth quarter of 2023.
Additionally, the company also released optimistic guidance for the first quarter of 2025 and the full year.
For the fourth quarter of 2023, Ross Stores reported earnings per share (EPS) of $1.82, beating consensus estimates of $1.65. Revenues totaled $6.02 billion, compared to the $5.8 billion expected by analysts.
The discount department store operator’s operating margin increased 165 basis points to 12.4% in the quarter, from 10.7% a year earlier.
For guidance, Ross Stores expects EPS for the first quarter of 2025 to be between $1.29 and $1.35, slightly above the consensus projection of $1.27.
Full-year EPS is between $5.64 and $5.89, lower than the expected $5.91.
“We are pleased with our fourth quarter sales and earnings results, which were well above our expectations,” said Barbara Rentler, CEO of Ross Stores.
“Our higher-than-expected sales were driven by positive customer response to our improved assortment of quality branded bargains across all our stores,” he added.