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Zumiez Q1 sales beat analyst estimates on North America, Europe growth

Zumiez Q1 sales beat analyst estimates on North America, Europe growth


Overview

  • U.S. specialty apparel retailer's fiscal Q1 net sales rose 4.9%, beating analyst expectations

  • Comparable sales rose 4.0% in fiscal Q1, with strength in North America and Europe

  • Company posted net loss for fiscal Q1; repurchased 0.3 mln shares for $6.2 mln


Outlook

  • Zumiez projects Q2 net sales between $210 mln and $215 mln

  • Company expects Q2 EPS between a loss of $0.23 and a loss of $0.08

  • Zumiez plans to open 5 new stores and close 26 stores in fiscal 2026


Result Drivers

  • NORTH AMERICA AND EUROPE GROWTH - Co said Q1 comparable sales rose mid-single digits, driven by ongoing strength in North America and strong comps in Europe

  • MERCHANDISE AND CUSTOMER INITIATIVES - Positive U.S. sales trends attributed to recent merchandise assortments and customer experience initiatives, per CEO Rick Brooks

  • EUROPEAN FULL-PRICE MODEL - Efforts to replicate full-price selling model in Europe contributed to year-over-year improvements in sales and margin


Company press release: ID:nGNX8llg5d


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q1 Sales

Beat

$193.35 mln

$191.03 mln (3 Analysts)

Q1 EPS

-$0.82

Q1 Net Income

-$13.27 mln


Analyst Coverage

  • The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the apparel & accessories retailers peer group is "buy."

  • Wall Street's median 12-month price target for Zumiez Inc is $24.00, about 3.9% above its June 3 closing price of $23.11

  • The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 23 three months ago


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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