Ascena Retail Group, Inc. Announces Consolidated Unaudited Earnings Results for the Quarter and Year Ended August 4, 2018; Provides Earnings Results Guidance for the First Quarter and Year 2019
For the year, the company reported net sales of $6,578.3 million as compared to $6,649.8 million a year ago. Operating income was $34.3 million as compared to operating loss of $1,313.8 million a year ago. Loss before benefit for income taxes was $81.5 million as compared to $1,414.2 million a year ago. Net loss was $39.7 million as compared to $1,067.3 million a year ago. Diluted and basic net income per common share were $0.20 as compared to $5.48 a year ago. Total non-GAAP adjusted operating income was $112.5 million as compared to $175.8 million a year ago. Non-GAAP Net Sales were $6,465.5 million as compared to $6,652.5 million a year ago. Non-GAAP diluted net loss per common share were $0.02 as compared to diluted and basic net income per common share of $0.22 a year ago. Non-GAAP Net loss was $4.6 million as compared to net income of $42.2 million a year ago. Adjusted EBITDA was $462.0 million as compared to $528.6 million a year ago.
The company provided earnings results guidance for the first quarter and year 2019. For the quarter, the company expects net sales of $1.54 to $1.56 billion. Gross margin rate of 60.0% to 60.5%. Operating expense growth of 1% to 2%; Operating income of $22 to $42 million. Interest expense of approximately $27 million. Income taxes of approximately $3 million reflecting a 21% tax rate and minimum taxes. Diluted share count of 200 million.
For the year, the company expects net sales of $6.45 to $6.55 billion. Gross margin rate of 57.6% to 58.1%. Operating income of $120 to $140 million. Interest expense of approximately $112 million. Income taxes approximately $8 million reflecting a 21% tax rate and minimum taxes. Diluted share count of 200 million.