Jos. A. Bank Clothiers Inc.’s fiscal third-quarter net income climbed 19 percent on a 21 percent rise in revenue, the company said Wednesday.
The performance topped Wall Street’s expectations but the Hampstead-based men’s clothier cautioned that the fourth quarter has started slower than expected, with revenue at stores open at least a year down in November.
This revenue metric is a key indicator of a retailer’s health because it excludes results from stores recently opened or closed.
Jos. A. Bank reported net income of $15 million, or 54 cents per share, for the quarter ended Oct. 30 compared with $12.6 million, or 45 cents per share, a year earlier.
Analysts polled by FactSet predicted earnings of 51 cents per share.
Revenue increased to $209.6 million from $173.3 million, easily beating Wall Street’s estimate of $196 million.
Revenue at stores open at least a year rose 14.6 percent, with direct marketing sales up 28.6 percent.
President and CEO R. Neal Black said in a statement that the company has adjusted its December merchandising and marketing plans due to the weaker-than-expected start to the fourth quarter.
“We believe our efforts will be effective and appealing to our customers. Therefore we remain cautiously optimistic for the outcome of this year’s fourth quarter,” Black said.
Analysts expect earnings of $1.62 per share on revenue of $353.4 million in the last three months of the clothier’s fiscal year.
Bank’s shares lost $1.89, or 3.7 percent, to close at $49.28.