Shares of retailer Big Lots (BIG - Get Report) were rallying in premarket trading Friday after the company posted better-than-expected second-quarter profit.

The company reported adjusted profit of 53 cents a share for the three-month period, down from 59 cents a year earlier. Analysts were expecting 40 cents, on average.

Revenue for the quarter of $1.25 billion was in line with Wall Street expectations but up from the $1.22 billion a year ago.

"Our existing initiatives are working, and we have important new strategies in progress to drive profitable long-term growth and deliver value to our shareholders," said Big Lots CEO Bruce Thorn in a statement.

The company also maintained its view that profit for the full year likely will be in the range of $3.70 to $3.85 a share. Analysts were calling for $3.76.

The shares were up 10.18% to $24.25 in premarket trading Friday.

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Constable owns none of the securities listed in this story.