Conn's Q4 Profit Climbs, But Misses Estimates; Backs FY15 Forecast - Quick Facts

(RTTNews) - Conn's, Inc. (CONN), a specialty retailer of home appliances, reported Thursday that its fourth-quarter net income climbed to $27.74 million from last year's $17.67 million. Earnings per share increased 50 percent to $0.75 from $0.50 a year ago.

Adjusted earnings per share, which excluded certain items, were $0.74 per share, compared to last year's $0.54.

On average, eight analysts polled by Thomson Reuters expected the company to report earnings of $0.78 per share for the quarter. Analysts' estimates typically exclude special items.

Consolidated revenues increased 44.3 percent to $361.1 million from $250.34 million last year. Analysts estimated revenues of $362.86 million for the quarter.

Same store sales increased 33 percent, with growth in each categories. Higher-margin furniture and mattress product same store sales increased 60 percent.

Looking ahead, Conn's reaffirmed its fiscal year 2015 earnings guidance of $3.40 to $3.70 per share, while analysts expect earnings of $3.51 per share.

Fiscal 2015 same store sales are expected to increase 5 percent to 10 percent, down from 27 percent in fiscal 2014, as comparisons will become progressively more difficult, the company noted. Same store sales in the current quarter to date increased about 15 percent.

Separately, Conn's announced that it completed an expansion of its existing asset-based syndicated loan facility that matures November 2017 and that Bank of Texas has joined the facility. The revolving facility commitment increased $30 million to $880 million with the additional financial partner and increased commitment levels within the existing syndicate of banks.