Destination Maternity Corporation, the world's leading maternity apparel retailer, announced operating results for the third quarter of fiscal 2013, which ended June 30, 2013.
The Company's diluted earnings per share for its third quarter fiscal 2013 increased 23% compared to the prior year, and were at the top end of its April 25, 2013 earnings guidance range. On July 24, 2013 the Company announced that its Board of Directors declared a regular quarterly cash dividend of $0.1875 per share payable September 27, 2013.
Third Quarter Fiscal 2013 Financial Results
- Net income for the third quarter of fiscal 2013 was $8.6 million, an increase of 24% compared to net income of $6.9 million for the third quarter of fiscal 2012. Diluted earnings per share for the third quarter of fiscal 2013 was $0.64, an increase of 23% compared to $0.52 for the third quarter of fiscal 2012. This third quarter fiscal 2013 diluted earnings per share performance was at the top end of the Company's prior guidance range of $0.56-$0.64 provided in its April 25, 2013 press release.
- Adjusted EBITDA was $17.8 million for the third quarter of fiscal 2013, an 11.1% increase compared to the $16.0 million of Adjusted EBITDA for the third quarter of fiscal 2012.
- Net sales for the third quarter of fiscal 2013 increased 2.2% to $141.9 million from $138.8 million for the third quarter of fiscal 2012.
The increase in sales for the third quarter of fiscal 2013 compared to fiscal 2012 resulted primarily from an increase in comparable sales, partially offset by decreased sales related to the Company's continued efforts to close underperforming stores, and decreased sales due to the closure of all of the Company's remaining leased departments within Babies"R"Us stores during the month of October 2012. The net sales of $141.9 million for the third quarter were near the top end of the Company's guidance range of $138 to $142 million provided in April 2013.
- Comparable sales (which include Internet sales) for the third quarter of fiscal 2013 increased 4.9% compared to a comparable sales decrease of 2.4% for the third quarter of fiscal 2012. The comparable sales increase of 4.9% during the third quarter of fiscal 2013 was near the top end of the Company's guidance range for a comparable sales increase of between 2% and 5%.
The Company's adjusted comparable sales increased 5.3% for the third quarter of fiscal 2013 and decreased 1.5% for the third quarter of fiscal 2012. The Company's Internet sales, which are included in the Company's comparable sales, increased 14% for the third quarter of fiscal 2013 on a reported basis, on top of a 30% increase in the third quarter of fiscal 2012.
