Express, Inc. (NYSE:EXPR) issued its financial report for Q3 2017. This report, which cover the 13-weeks closed October 28, 2017, are compared to 13-weeks closed October 29, 2016. Net sales came at $498.7 million compared to $506.1 million in Q3 2016. Comparable sales decreased 1% against 8% drop in Q3 2016. E-commerce sales surged 23% YoY to $118.2 million.
The details
David Kornberg, the CEO and President of Express, expressed that they are delighted with the progress they are advancing towards returning their business to growth. Their major measures continue to get traction and contribute incrementally, which is leading enhanced trends in their results. Comparable sales came at the top end of their projection, as were earnings discounting the hurricane impact. E-commerce sales growth continued to be robust, jumping 23% over last year, while store comps demonstrated further sequential improvement.
Kornberg added that they enter the vital holiday season with strong momentum and are assured that their fashion and assortment are resonating well with their consumers depending on the sustained strength in their e-commerce business and enhancing store performance. They are witnessing success from their recently expanded OCH capabilities and anticipate enrollment growth in their NEXT loyalty program to lead increased customer engagement in Q4 2017 and into next year.
Express management is managing costs effectively and reaching on savings targets. Its balance sheet remains impressive with cash of $198 million and no debt as well as remarkable inventories. The company anticipate to record solid cash flow.
Kornberg added that they are committed to enhancing shareholder value and are delighted to report a new share repurchase program worth $150 million. They continue to remain assured in their ability and strategy to successfully transform their business to navigate a fast changing environment. For Q3 2017, merchandise margin enhanced by 30 basis points, led by sourcing related cost savings, partly counterbalance by the extremely promotional environment.
