BUSINESSDESK: Pumpkin Patch, the children’s clothing chain, said full-year profit before one-time items was about $10.1 million, beating estimates as bank debt and inventory levels fell and online sales rose.
The stock jumped 11%.
Analysts had been forecasting full-year reported profit before one-time items of $9.2 million for the year ended July 31. The shares rose 10 cents to $1.01, the highest since May 2, and have soared 42% this year.
The company attributed the result to “solid trading performances over the last three months”. The profit figure excludes non-recurring reorganisation costs.
Both bank debt and inventory are lower than market expectations, it says. Bank debt fell to $55 million from $61 million and inventory dropped to about $62 million from $84 million.
Online sales for the year exceeded $30 million and were up 50% on the previous year “with strong growth for both Pumpkin Patch and Charlie & Me brands across all online markets,” the company says.
It plans to release its full results on September 27.
This article is tagged with the following keywords. Find out more about MyNBR Tags
Most listened to
- NBR's veteran budget reporter Rob Hosking breaks down the key points
- AUT professor John Tookey says the government is far behind the curve when it comes to housing and Auckland transport
- BNZ's Craig Ebert on the Budget 2016 forecasts
- Grant Thornton's Greg Thompson on the Budget tax measures and the focus on debt repayment
- EY's David Snell says IRD's IT overhaul will be at the cost of about 1,000 jobs