Sales in home and electronics helped drive BJ’s to better-than-expected second-quarter results.
Company net income was $173.9 million, or $1.36 per diluted share, versus $150.7 million, or $1.14 per diluted share, in the year-earlier quarter.
An analyst consensus estimate from Zacks Investment Research put earnings per diluted share at $1.16 and sales at $5.88 billion.
Comparable club sales, with gasoline revenues excluded, increased 3.1% year-over-year.
Net sales were $6.09 billion versus $5.26 billion in the year-previous quarter. Operating income was $252.4 million, up from $216.5 million in the prior period.
BJ’s updated its full-year profit guidance, with comparable club sales, excluding the impact of gasoline revenues, expected to increase 2% to 3% year-over-year, and adjusted earnings per share to range from $4.60 to $4.80. Previous guidance was for comparable club sales, excluding fuel, to increase 2% to 3% year-over-year, and for adjusted EPS to come in at a range of $4.40 to $4.60.
In a conference call, Bob Eddy, BJ’s chairman and CEO, said, “Our general merchandise and services division sustained comp growth of 5.3% in the quarter, and I’m pleased with the breadth of performance across the division. Consumer electronics continued to lead the way, and home was a strong contributor.”
He added, “In home, we’ve seen strong member response to renovated assortments across several categories, including housewares, textiles and refrigeration, where we’ve made meaningful changes to our assortment and value positioning.”
In announcing the financial results, Eddy said, “We delivered a strong second quarter, coming in ahead of our expectations across sales and profitability, with strong membership momentum. Our value proposition continued to resonate with members in our clubs and at our gas stations, and the momentum we’re seeing across our strategic priorities gives us real confidence in the road ahead.”
