Dillard’s Inc. (NYSE:DDS) posted second-quarter results on Thursday that outperformed analyst forecasts, marking the department store chain’s first sales increase in some time.
Following the announcement, Dillard’s shares in pre-market trading inched up 0.19%.
The company reported adjusted earnings of $4.66 per share for the quarter ending August 2, 2025, surpassing the analyst projection of $3.51 by $1.15. Revenue reached $1.51 billion, slightly above the consensus estimate of $1.5 billion. Total retail sales rose 1% year-over-year, with comparable store sales also up 1%.
“We were happy to achieve a sales increase for the first time in a while and encouraged by strengthening sales trends in July,” said William T. Dillard, II, Chief Executive Officer. “In an operating environment that changes daily, we focused on controlling inventory, ending up 2% compared to 6% at the end of first quarter.”
Retail gross margin for the quarter fell to 38.1% of sales from 39.1% a year earlier. Operating expenses totaled $434.2 million, or 28.7% of sales, compared with $433.6 million (29.1% of sales) in the year-ago period.
The top-performing categories included juniors’ and children’s apparel, as well as ladies’ accessories and lingerie, while home and furniture lagged behind.
Dillard’s also reported a pretax gain of $4.8 million ($3.7 million after tax, or $0.24 per share), primarily stemming from the sale of three properties.
During the quarter, the company repurchased about 24,500 shares of Class A Common Stock for $9.8 million at an average price of $398.67 per share. Dillard’s operates 272 stores, including 28 clearance centers, across 30 states.
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