Lands' End stock rises on upbeat guidance, Q2 beat

NEW YORK - Lands' End Inc. (NASDAQ:LE) shares gained 2.58% after the apparel retailer reported better-than-expected second quarter results and raised its full-year profit outlook.

The company posted an adjusted loss of $0.02 per share for Q2, beating analyst estimates for a $0.10 per share loss. Revenue came in at $317.2 million, topping expectations of $307.47 million.

Lands' End said gross margin expanded 470 basis points year-over-year to 47.9%, driven by lower promotional activity and improved inventory management.

"Our robust second quarter results continue to prove our solutions-based strategy is working," said CEO Andrew McLean. He noted the company is attracting new customers and improving its supply chain and inventory position.

For fiscal 2024, Lands' End now expects adjusted earnings per share of $0.29 to $0.48, up from its previous guidance and ahead of the $0.29 consensus estimate. The company forecasts full-year revenue of $1.35 billion to $1.43 billion.

The raised profit outlook and Q2 beat helped drive the stock higher in Thursday trading. Lands' End said it saw mid-single digit growth in new customer acquisition during the quarter as it evolves its brand and product assortment.

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Source: Investing.com