Executive Summary

• Ascena Retail Group reported fiscal 4Q19 revenues of $1.27 billion, above the consensus estimate of $1.20 billion, but down year over year. The company reported adjusted 4Q19 earnings per share (EPS) of $0.13 excluding items, lower than the year ago period.
• Ascena’s third quarter comparable sales were flat, compared to a 4% increase in the year-ago period.
• Due to the closure of the company’s Dressbarn business, the company provided guidance for only the continuing operations of its premium fashion brands, plus fashion brands, and kids segments for 1Q20: The company projects net sales of $1.10-1.12 billion. Management expects comparable sales of negative low single digits.