Luxury apparel retailer Vince Holding’s (NYSE: VNCE) stock jumped more than 15% during the after-hours as the company swung to profit in the second quarter 2019. Vince reported earnings of $1 million or $0.08 per share compared to a loss of $3.8 million or $0.33 per share in the prior year quarter.
Sales increased 13% annually to $71 million for the second quarter. The market estimated Vince to post a loss of $0.19 per share on revenue of $68.6 million for the July-quarter.
Wholesale segment sales increased 14.7% to $43.4 million due primarily to the acceleration of seasonal wholesale shipments. Direct-to-consumer segment sales grew 10.6% to $28 million compared to the second quarter of fiscal 2018. Comparable sales increased 7.1%, including e-commerce sales, primarily due to an increase in transactions and average dollar sale.
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For fiscal 2019, the New York-based firm lifted its sales outlook. The company now expects sales to be between $295 million and $305 million compared to the previous sales outlook of $290 million to $300 million.
“We were very pleased with the exceptional top and bottom line performance in the second quarter reflecting double digit sales growth in both our direct-to-consumer and wholesale channels,” said CEO Brendan Hoffman.
VNCE stock has gained 24% so far in this year while it declined 36% in the trailing 12 months.
