Duluth Holdings Inc. DLTHis slated to release first-quarter fiscal 2018 results on Jun 5, before the opening bell. We note that the apparel retailer has mixed record of earnings surprises in the trailing four quarters. Considering this, let’s see how things are shaping up prior to the upcoming results.
Initiatives to Drive Sales Bode Well
Duluth Holdings resorts to frequent store openings to fortify its retail footprint and expand customer base. Moreover, strength in the direct and retail business channels combined with sturdy brand performance has been motivating management to constantly enhance store count. For 2018, the company plans to open about 15 stores across some major market locations. We expect Duluth Holdings’ first-quarter performance to benefit from the store-expansion initiatives.
Apart from this, Duluth Holdings also gains from its efforts to expand in the omnichannel space. In this respect, the company has been on-track to bolster its ‘buy online pick up in-store’ facility by upgrading distribution networks and augmenting shipping capabilities. Further, management also undertakes marketing initiatives through a variety of mediums to enhance brand awareness and augment sales. These measures have been particularly useful in driving the company’s women’s brands.
Well, the company’s staregic endeavors to drive sales have been yielding, evident from year-over-year top-line growth for 32 straight quarters. We expect this positive sales trend to continue in the first quarter as well. Encouragingly, analysts polled by Zacks expect sales of $101.4 million in the impending quarter, depicting a rise of almost 21% from the prior-year quarter’s tally.