Better-than-expected quarterly sales boost Destination XL Group’s FY15 guidance

Destination XL Group, Inc. (NASDAQ:DXLG), the largest omni-channel specialty retailer of big and tall men's apparel, has just increased its earnings guidance for fiscal 2015. The specialized apparel group anticipates FY’15 sales to come in at approximately 442 to 442.5 million dollars.

“Our DXL retail stores performed very well in the last two months of the quarter, with an expected comparable sales increase of more than 8.5 percent for the fourth quarter and more than 9.5 percent for the year,” said President and CEO David Levin, explaining the improved guidance.

Levin further added that “Given our better-than-expected sales performance and our strong merchandise margins, we now expect improved top- and bottom-line results for fiscal 2015. Sales from our cold-weather assortments got off to a slow start in Q4, as a result of unseasonably warm weather. However, demand began to pick up in early December and continued to improve in January.”

As explained by the company in a statement Monday, as a result of the strong fourth quarter sales performance, Destination XL has decided to revise its earnings guidance for fiscal 2015, expecting now them to be approximately 442.0 million dollars to 442.5 million dollars. This figure is ahead of the retailer’s previous guidance range of 438.0 to 440.0 million dollars.

Likewise, earnings before interests, taxes, depreciation and amortization (EBITDA) for fiscal 2015 is expected to beat former estimates at 22.5 to 23.5 million dollars, an increase from previous guidance of 21.0 to 22.0 million dollars.

Net loss is expected to reduce to be between 0.17 dollars and 0.20 dollars per diluted share, compared with previous guidance of 0.20 dollars to 0.23 dollars per diluted share.

Destination XL Group also confirmed it will report its actual fourth-quarter and fiscal 2015 financial results on March 18, 2016.