Ross Stores Q1 sales and earnings increase

Ross Stores reported earnings per share of 1.46 dollars on net earnings of 488 million dollars for the first quarter. Sales for the quarter grew 8 percent to 4.9 billion dollars, with comparable sales up 3 percent versus last year.

Commenting on the first quarter results, Barbara Rentler, chief executive officer of Ross Stores, said: “Though we had hoped to do better, first quarter sales were in line with guidance despite macroeconomic headwinds that continued to pressure our customers’ discretionary spending. Earnings results for the period were better-than-expected primarily due to lower expenses relative to our plan.”

During the first quarter, the company purchased 1.9 million shares of common stock for an aggregate price of 262 million dollars under the new two-year 2.1 billion dollars authorization approved by its board of directors in March 2024. Ross Stores remains on track to buy back a total of 1.05 billion dollars in common stock during fiscal 2024.

“For the 13 weeks ending August 3, 2024, comparable store sales are projected to increase 2 percent to 3 percent. Earnings per share for the second quarter are projected to be in the range of 1.43 dollars to 1.49 dollars, up from reported earnings per share of 1.32 dollars for the prior year period ended July 29, 2023,” added Rentler.

Based on our first quarter results and forward guidance, comparable store sales for the full year remain unchanged at up 2 percent to 3 percent, with earnings per share now projected to be in the range of 5.79 dollars to 5.98 dollars versus 5.56 dollars in the previous year.