Ross Stores Proves Retailers Can Still Thrive

Ross Stores reports a 15% jump in first-quarter earnings and boosts its full-year outlook.

Author:: Jeanine Poggi
Publish date:: May 21, 2009 9:55 AM EDT

Ross Stores reports a 15% jump in first-quarter earnings and boosts its full-year outlook.

Ross Stores

proved there are retail models that are able to survive and thrive during a recession.

The off-price retailer posted a 15% jump in first-quarter earnings and boosted its full-year outlook.

The company earned $91.4 million during the quarter, or 72 cents a share, up from $79.5 million, or 60 cents, in the year-ago period.

Sales jumped 8.6% to $1.69 billion from $1.56 billion last year, while total same-store sales jumped 3%.

The company has been benefiting from its competitors' failures, taking advantage of close-out opportunities in the marketplace and passing off those deals to the consumer.

Ross Stores now expects full-year earnings in the range of $2.62 to $2.72 a share, up from its previous guidance of $2.25 to $2.45 a share. The company forecasts earnings of 60 cents to 63 cents a share in the second quarter .

Earlier in the week, rival

TJX

(TJX) - Get Report

said its

first-quarter earnings climbed 8%

beating Wall Street's target.