Dress Barn lifts full-year earnings guidance on better-than-expected revenue results

Dress Barn boosts fiscal 2010 profit forecast

SUFFERN, N.Y. — Dress Barn Inc. raised its fiscal 2010 earnings forecast Thursday on better-than-expected results for a key revenue figure and a higher profit margins.

The women’s retailer now anticipates earnings between $1.80 and $1.85 per share for the year. Its previous forecast was for earnings of $1.55 to $1.60.

Analysts surveyed by Thomson Reuters, whose estimates typically exclude one-time items, predict a 2010 profit of $1.62 per share.

Dress Barn said revenue at stores open at least a year climbed 14 percent in the quarter.

This figure is a key indicator of a retailer’s performance because it measures revenue at existing stores rather than newly opened ones.

Total revenue for the period that ended April 24 jumped 77 percent to $666 million, helped by additional revenue from its Justice stores. Revenue at its namesake stores increased 9 percent and was up 17 percent at Maurices locations. Wall Street expected total revenue of $624.7 million.

Dress Barn expects third-quarter earnings of 58 cents to 60 cents per share, while analysts predict 44 cents per share.

The company’s third-quarter results will be announced May 26.

Dress Barn runs 2,473 stores.