Francesca's Holdings Corporation Updates Earnings Guidance for the Fourth Quarter and Full Year Ending February 3, 2018; Provides Tax Rate Guidance for Fiscal 2019; Plans to Open 35 New Boutiques; Plans to Close 20 Boutiques
Fiscal year 2017 GAAP diluted earnings per share is expected to be in the range of $0.39 to $0.43. Excluding the write-down of the deferred tax asset and related tax expense increase, adjusted diluted earnings per share is now estimated to be $0.50 to $0.51. This compares with prior adjusted earnings per share guidance of $0.50
to $0.55.
For fiscal 2019, the Company expects the effective tax rate to decrease to approximately 26% based on the new tax legislation.
The Company expects to open approximately 35 new boutiques in high traffic locations while also refreshing approximately 80 to 90 high volume existing boutiques.
Additionally, the Company has increased performance expectations of existing boutiques and, as a result, will close approximately 20 boutiques.