NEW YORK (TheStreet) -- Shares of Guess Inc (GES) were higher by 0.66% to $27.51 on heavy volume in early market trading Wednesday, after the fashion apparel company released its first quarter earnings results after the market closed yesterday.
The company reported better than expected first quarter earnings, but revenue trailed estimates.
For the first quarter, Guess earned 4 cents per share on revenue of $479 million.
Analysts polled by Thomson Reuters expected the company to post a loss of 5 cents per share on revenue of $483.8 million.
Guess noted that the company got a boost from an improvement in gross margin and operating margin during the quarter.
For the current quarter, Guess guided for earnings of between 12 cents to 16 cents per share, along with a decline in sales of between 13% and 11%.
Analysts are expecting earnings of 18 cents per share and sales to fall by 8.4% for the second quarter.
The company raised its full year guidance. It guided for full year earning of between 86 cents to $1.02 per share from its previous range of between 75 cents to 95 cents per share. It expects a decline in sales of between 8.5% and 6.5%.
Analysts expect earnings of 87 cents per share and a drop in sales of 7% for the year.
In addition, the company announced a quarterly cash dividend of 22.5 cents per share.
About 1.44 million shares have exchanged hands as of 10:41 a.m. ET today, compared to its average trading volume of about 1.18 million shares a day.
Los Angeles-based Guess designs, markets, distributes and licenses a collection of apparel and accessories for men, women and children.
Separately, TheStreet Ratings team rates GUESS INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate GUESS INC (GES) a HOLD. The primary factors that have impacted our rating are mixed, some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, attractive valuation levels and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, deteriorating net income and disappointing return on equity."
You can view the full analysis from the report here: GES Ratings Report