Zumiez’s stock soars toward multi-month high after upbeat results, outlook

Shares of Zumiez Inc. shot up 15% toward a 3 1/2-month high in premarket trade Friday, after the specialty apparel retailer reported better-than-expected fiscal second-quarter results and provided an upbeat outlook. The company said late Thursday that the net loss for the quarter to July 29 narrowed to $608,000, or 2 cents a share, from $838,000, or 3 cents a share, in the same period a year ago, beating the FactSet consensus for a per-share loss of 6 cents. Revenue rose to $192.2 million from $178.27 million, topping the FactSet consensus of $192.1 million, as same-store sales growth of 4.7% beat expectations of a 4.5% increase. Zumiez said it expects third-quarter EPS of 43 cents to 48 cents, revenue of $236 million to $241 million and same-store sales growth of 4% to 6%, compared with the FactSet consensus as of Aug. 31 for EPS of 43 cents, revenue of $227.9 million and same-store sales growth of 1.6%. The stock had tumbled 40% year to date through Thursday, while the SPDR S&P Retail ETF had shed 8.4% and the S&P 500 had gained 10%.

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