Pier 1 Imports Hits Estimates, But GAAP Results Lag Last Year's

Pier 1 Imports (NYSE: PIR  ) reported earnings on April 11. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 2 (Q4), Pier 1 Imports met expectations on revenues and met expectations on earnings per share.

Compared to the prior-year quarter, revenue grew significantly. Non-GAAP earnings per share increased significantly. GAAP earnings per share shrank significantly.

Gross margins grew, operating margins grew, net margins dropped.

Revenue details
Pier 1 Imports logged revenue of $552.0 million. The 12 analysts polled by S&P Capital IQ predicted a top line of $547.1 million on the same basis. GAAP reported sales were 16% higher than the prior-year quarter's $476.8 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.60. The 14 earnings estimates compiled by S&P Capital IQ predicted $0.60 per share. Non-GAAP EPS of $0.60 for Q4 were 25% higher than the prior-year quarter's $0.48 per share. GAAP EPS of $0.58 for Q4 were 44% lower than the prior-year quarter's $1.04 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 46.2%, much better than the prior-year quarter. Operating margin was 18.2%, 140 basis points better than the prior-year quarter. Net margin was 11.2%, much worse than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $393.7 million. On the bottom line, the average EPS estimate is $0.20.

Next year's average estimate for revenue is $1.83 billion. The average EPS estimate is $1.37.

Investor sentiment

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Pier 1 Imports is outperform, with an average price target of $24.36.

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