Business
Ross Stores Reports Fourth Quarter and Fiscal 2019 Results Announces 12% Increase in Quarterly Cash Dividend Provides First Quarter and Fiscal 2020 Guidance
DUBLIN, Calif.--(BUSINESS WIRE)-- Ross Stores, Inc. (Nasdaq: ROST) today reported earnings per share for the 13 weeks ended February 1, 2020 grew 7% to $1.28
About this update from Ross Stores, Inc.
[{"type":"text","content":" DUBLIN, Calif.--(BUSINESS WIRE)--\nRoss Stores, Inc. (Nasdaq: ROST) today reported earnings per share for the 13 weeks ended February 1, 2020 grew 7% to $1.28 on net income of $456 million. Sales for the fourth quarter of 2019 were $4.4 billion, with comparable store sales up 4% on top of a 4% gain in the prior year period.\n\n\nFor the 2019 fiscal year, earnings per share increased 8% to $4.60, compared to $4.26 in the prior year. Net income for the period was $1.7 billion, up from $1.6 billion last year. Sales for the 2019 year grew 7% to $16.0 billion, with same store sales up 3% on top of a 4% gain last year.\n\n\nEarnings results for both the 2019 and 2018 fourth quarters and fiscal years reflect one-time, non-cash gains of $.02 and $.07 per share, respectively, primarily related to the favorable resolution of tax matters.\n\n\nBarbara Rentler, Chief Executive Officer, commented, “We delivered strong sales and earnings growth for both the fourth quarter and fiscal year. Our ongoing ability to offer compelling bargains to our customers enabled us to achieve these results despite our own challenging multi-year comparisons and a fiercely competitive holiday season.”\n\n\nMs. Rentler continued, “Fourth quarter operating margin of 13.3% was slightly better than expected, driven by higher merchandise margin.”\n\n\nUpdate on Stock Repurchase Program\n\n\nDuring the fourth quarter and fiscal 2019 we repurchased a total of 2.7 million and 12.3 million shares of common stock, respectively, for an aggregate price of $309 million in the quarter and $1.275 billion for the full year. These purchases were made pursuant to the two-year $2.55 billion program announced in March 2019. We expect to complete the $1.275 billion remaining under the authorization in fiscal 2020.\n\n\nDeclaration of Higher Quarterly Cash Dividend\n\n\nThe Company’s Board of Directors also recently approved an increase in the quarterly cash dividend to $.285 per share, up 12% over the prior year. This higher quarterly dividend is payable on March 31, 2020 to stockholders of record as of March 17, 2020.\n\n\nMs. Rentler noted, “The increases to our shareholder payouts for 2020 reflect our ongoing confidence in the Company’s ability to generate significant amounts of cash after funding our growth and the other capital needs of our business. We have repurchased stock ...