NEW YORK (TheStreet) -- Shares of The Men's Wearhouse, Inc. (MW) are up 5.78% to $54.32 after reporting fiscal 2014 first quarter results.
Total net sales for the quarter increased 2.3% or $13.9 million to $630.5 million from $616.5 million.
Retail segment sales for the quarter increased by 2.4% or $13.5 million and corporate apparel sales increased by 0.8% or $0.5 million as compared to the prior year quarter.
GAAP net earnings were $16.5 million. Adjusted net earnings for the quarter were $33.1 million, or 69 cents adjusted earnings per share, compared to net earnings of $33.1 million, or 65 cents diluted earnings per share last year, and beating analysts' consensus estimate of 67 cents.
Separately, the company announced that it plans to issue an aggregate principal amount of up to $600 million of senior notes due 2022 in a private offering.
The company intends to use the net proceeds from the offering to pay a portion of the approximately $1.8 billion purchase price for the previously announced acquisition of Jos. A. Bank Clothiers, Inc. (JOSB).
TheStreet Ratings team rates MENS WEARHOUSE INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate MENS WEARHOUSE INC (MW) a BUY. This is driven by several positive factors, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its solid stock price performance, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income."