Lands’ End (NASDAQ: LE) stock climbed 6.7% after the financial results for the current quarter came in better than expected. The apparel retailer reported quarterly earnings of 60 cents per share, surpassing the 56 cents per share expected estimate.
Lands’ End shares have gained 670% over the past 54 weeks bringing the company’s market cap to $1.15 billion. The E-commerce net revenue also increased by 7.5 percent last quarter, with e-commerce in Europe increasing 38 percent and U.S. e-commerce rising 3.7 percent.
LE agrees to a deal for financial breathing space
Lands’ End (NASDAQ: LE) amends its credit contract to provide an increment in the maximum borrowings cap up to $275M from a prior level of $200M. The company states the effectiveness of the second amendment to the ABL Facility has a conditionupon it paying obligations under the contract and other customary closing regulations.
Hence Lands’ End was able to grow EPS by 32% in the last year. The recent improvement could hint at a positive inflection point within the business, with a stagnant increase in the business revenue as well as capital gain in the company stock.
LE Corporate Governance And Future Plans.
This week, James Gooch was promoted to the president while continuing as the CFO of the company. His job domain as president includes that he will oversee e-commerce, International, Outfitters, third party, and retail businesses.
Sarah Rasmusen, chief customer officer, was promoted to executive vice president to overlook IT and was responsible for market integration for the company.
And Peter Gray, executive vice president, chief administrative officer, and general counsel, will oversee distribution center operations, all three executives answering to CEO Griffith.
“The strength and resilience of our business model, as well as the diligence and endurance of our teams, was clearly demonstrated over the past year,” said Jerome Griffith, chief executive officer, emphasizing on how the established business was not negatively affected by the pandemic due to their expansion to e-commerce.
As a company that offered better-than-expected quarterly results, and anticipates sales and profits to grow for the full year, LE has shown a stagnant increase in revenue and savvy financial decisions, as well as gigantic financial surplus, has peaked investor interest.