COLUMBUS, Ohio (AP) -- DSW posted a $39.9 million first-quarter profit, reversing a loss in the same quarter last year when it spent millions acquiring Retail Ventures Inc.
DSW's profit amounted to $39.9 million, or 89 cents per share, and compared with a loss of $38.1 million, or $1.74 cents per share, in the fiscal 2011 quarter.
The year-ago period's results included a $77.7 million charge related to the acquisition of Retail Ventures.
Excluding acquisition charges, the company posted an adjusted profit of $44.1 million, or 98 cents per share, compared with adjusted results of $39.6 million, or 87 cents per share, in the year-ago period.
Revenue rose 11 percent to $558.6 million from $503.6 million, as the revenue from stores open at least a year increased 7.6 percent. The metric is a key gauge of a retailer's health, because it excludes sales at stores that opened or closed during the year.
The adjusted results easily beat Wall Street expectations. Analysts were looking for a profit of 90 cents per share on $548.1 million in revenue, according to a FactSet poll.
The company boosted its full-year adjusted profit guidance, saying it now expects to earn between $3.25 and $3.40 per share for the year, up from its previously predicted range of $3.20 to $3.25 per share.
Analysts polled by FactSet expect a full-year profit of $3.31 per share.
DSW Inc. also increased its same-store sales growth prediction for the year to a range of 3 to 5 percent, up from its previous prediction of a 2 to 4 percent increase.
