Stein Mart, Inc. Announces Unaudited Consolidated Earnings Results for the First Quarter Ended May 5, 2018; Provides Earnings Guidance for the Second Quarter and First Half of 2018 and Capital Expenditure Guidance for the Full Year 2018; Reports Impairment of Property and Other Assets for the First Quarter Ended May 5, 2018
For fiscal 2018, the company expects capital expenditures to be approximately $10 million compared to $21 million in fiscal 2017. Effective tax rate will be close to 0% for all of 2018.
For the first half of 2018 the company expects operating income to be in excess of $10 million compared to an operating loss of $11.5 million for the first half of 2017. Second quarter of 2018 operating income is expected to be positive based on they anticipate flat to low single-digit increases in comparable sales for the second quarter driven by much higher regular-price selling; they expect gross profit expansion in excess of 400 basis points.
For the quarter, the company reported impairment of property and other assets of $299,000 compared to $31,000 a year ago.