Oxford Industries, Inc. OXM unveiled disappointing financial figures for its Q4 and provided a lackluster forecast for the upcoming quarter this past Thursday.
Marking a miss on the market’s projections, Oxford Industries reported adjusted earnings of $1.90 per share, falling short of estimates at $1.95 per share. The company’s revenue stood at $404.40 million, trailing behind the anticipated $408.18 million, as per Benzinga Pro data.
Reflecting on the FY23 performance, Tom Chubb, Chairman, and CEO remarked, “Fiscal 2023 witnessed the second most profitable year in our 82-year history. Over the span of five years, we showcased a compound annual growth rate of over 18% in adjusted EPS. This exceptional run generated $244 million in operational cash flow for us in FY23, enabling investments in both organic growth and acquisitions, consistent shareholder dividend payouts, buybacks, and a significant debt reduction.
In terms of future outlook, the company disclosed FY24 adjusted earnings expectations ranging from $9.30 to $9.70 per share, falling short of market consensus at $10.21 per share. Revenue projections for FY24 are set between $1.63 billion to $1.67 billion, differing from the expected $1.575 billion.
For the first quarter, Oxford Industries anticipates adjusted earnings of $2.60 to $2.80 per share, below the estimated $3.58 per share, with revenue projections of $395 million to $415 million—compared to the expected $419.196 million.
Following the announcement, Oxford Industries’ shares witnessed a 4% decline, settling at $107.90 by Monday.
Several analysts revised their price targets on Oxford Industries post-earnings:
- Telsey Advisory Group upped the price target from $102 to $110, maintaining a Market Perform rating by analyst Dana Telsey.
- UBS reduced the price target from $106 to $104, keeping a Neutral rating, as affirmed by analyst Mauricio Serna.
- Citigroup cut the price target from $98 to $94, while analyst Paul Lejuez downgraded the stock from Neutral to Sell.
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