Sept 5 (Reuters) – Men’s Wearhouse Inc’s quarterly
results narrowly beat Wall Street expectations as strong demand
at its higher-margin U.S. tuxedo rental unit offset the decline
in corporate orders for uniforms.
However, the company said it expects the corporate apparel
segment, which accounts for about 9 percent of total sales, to
pick up in the second half of the year with the rollout of new
uniforms.
Shares of the company, founded in 1973, rose more than 8
percent to $34.52 in extended trading.
Earnings rose to $59.4 million, or $1.15 per share, for the
second quarter from $57.1 million, or $1.09 per share, a year
earlier.
Revenue rose marginally to $662.3 million. Revenue from its
tuxedo rental service, which contributes about 23 percent to
sales, rose about 4 percent.
Analysts on average expected the company to earn $1.12 per
share on revenue of $663.9 million, according to Thomson Reuters
I/B/E/S.
Houston, Texas-based Men’s Wearhouse shares closed at $31.84
on the New York Stock Exchange on Wednesday.
(Reporting by Juhi Arora in Bangalore; Editing by Joyjeet Das)
