LITTLE ROCK, Ark. - Dillard's, Inc. (NYSE:DDS) reported third-quarter earnings that beat analyst expectations, while revenue was in line with estimates as the retailer focused on margin and expense control amid declining sales.
The department store chain posted earnings per share of $7.73 for the quarter ended November 2, 2024, surpassing the analyst consensus of $6.47. Revenue came in at $1.43 billion, matching analyst estimates.
Total (EPA:TTEF) retail sales decreased 4% YoY to $1.36 billion, with comparable store sales also down 4%. Net income fell to $124.6 million from $155.3 million in the same quarter last year.
"While retail sales declined 4%, we focused on gross margin, reporting a respectable 44.5% of sales, while working on expense control," said Dillard's Chief Executive Officer William T. Dillard, II.
Retail gross margin was 44.5% of sales compared to 45.3% in the prior year quarter. The company noted that inventory increased 3% YoY.
Dillard's ended the quarter with cash and short-term investments of over $1.1 billion after repurchasing $107 million in stock during the period.
Looking ahead, Dillard's said it is "looking forward to welcoming our customers and serving them this holiday season," noting a shorter selling period between Thanksgiving and Christmas this year.
The company operates 273 Dillard's stores across 30 states as well as an e-commerce site.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.