NASDAQ$VRA

Vera Bradley Inc · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Vera Bradley, Inc. substantially narrowed its net loss and outperformed revenue and earnings expectations.

Vera Bradley, Inc. reported a strong first quarter with consolidated net revenues totaling $109.1 million, a 57.5% increase over the prior year. The company substantially narrowed its net loss to $2.1 million, or $0.06 per diluted share. Management increased annual guidance for fiscal year ending January 29, 2022.

  • Consolidated net revenues increased by 57.5% to $109.1 million compared to the prior year.
  • Net loss narrowed to $2.1 million, or $0.06 per diluted share, compared to a net loss of $15.3 million, or $0.66 per diluted share in the prior year.
  • Gross profit totaled $59.2 million, or 54.2% of net revenues, compared to $34.2 million, or 49.3% of net revenues, in the prior year.
  • The company's balance sheet remains strong with cash, cash equivalents, and investments over $50 million and no debt.

Headline financials

Total Revenue

$109M

Previous: $69.3M+57.5%
EPS (adj)

-$0.05

Previous: -$0.31+83.9%
Capital Expenditures

-$503K

Previous: -$2.24M+77.5%
Free Cash Flow

-$2.65M

Previous: -$17.6M+84.9%
Net Income

-$2.15M

Previous: -$15.3M+86.0%
Operating Income

-$1.96M

Previous: -$25.6M+92.3%
Gross Profit

$59.2M

Previous: $34.2M+73.1%
Cash & Equivalents

$51.4M

Previous: $82.3M-37.6%
Total Assets

$501M

Previous: $551M-9.1%
Stock-Based Comp

$1.81M

Previous: $59K+2974.6%

Revenue & EPS history

Vera Bradley · Revenue · Quarterly

$109M

Q1 2022+57.5%vs Q1 2021
Beat estimate in 6 of 16 quarters(38%)
ActualEstimate

Revenue by segment

Vera Bradley · $82M total across 2 segments · Q1 2022

  • Direct
    $66.7M+81.3%
  • Indirect
    $15.3M+36.6%

Forward guidance

Management is raising its revenue and diluted earnings per share estimates for the fiscal year from its guidance previously provided on March 9, 2021. For Fiscal 2022, the Company’s updated expectations are as follows: Consolidated net revenues of $555 to $575 million and Consolidated diluted EPS of $0.85 to $1.00.

Tailwinds

  • Consolidated net revenues of $555 to $575 million.
  • Year-over-year Pura Vida revenues are expected to grow between 20% and 30%.
  • Vera Bradley revenues are expected to grow between 15% and 20%.
  • Free cash flow of between $50 and $55 million.
  • Consolidated operating income of $46 to $53 million.

Headwinds

  • The retail environment continues to be uncertain, and future financial performance is difficult to predict.
  • The potential gross profit rate decline relates to an abatement in mask penetration in Fiscal 2022 coupled with incremental costs for inbound and outbound freight expense.
  • Consolidated SG&A expense of $265 to $275 million.
  • Net capital spending of approximately $8 to $10 million.
  • Future financial performance is difficult to predict.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2022

Historical avgQ1 2022

-0.6%

Avg return

Earnings day

-0.7%

Avg return

5 days after

-1.9%

Avg return

30 days after

40%

26 / 65 earnings

Positive

+36.9%

Q3 2016

Best reaction

-24.1%

Q4 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2027
Q4 2026+35.7%+31.3%+55.8%
Q3 2026-16.3%+0.9%+42.8%
Q2 2026-7.9%-9.2%-12.7%
Q1 2026-2.1%-10.0%-13.0%
Q4 2025-3.3%+0.7%-22.4%
Q3 2025-17.7%-26.0%-31.0%
Q2 2025-0.6%-1.4%+4.0%
Q1 2025-19.7%-22.6%-16.3%
Q4 2024-9.8%-13.6%-10.7%
Q3 2024+6.5%+5.9%+2.5%
Q2 2024+4.5%+5.5%-3.6%
Q1 2024+16.0%+12.6%+16.8%
Q4 2023+2.9%+3.3%+8.3%
Q3 2023+14.4%+19.7%+24.6%
Q2 2023-18.2%-21.6%-32.4%
Q1 2023-8.0%-22.5%-30.6%
Q4 2022+6.5%+8.0%+0.9%
Q3 2022-18.3%-16.0%-17.9%
Q2 2022-11.5%-11.2%-16.1%
Q1 2022-9.5%-7.0%-13.0%
Q4 2021+0.6%+5.6%+1.3%
Q3 2021-13.5%-10.7%-5.0%
Q2 2021+31.1%+40.3%+27.4%
Q1 2021+7.8%+21.7%-24.7%
Q4 2020-24.1%-37.9%-17.2%
Q3 2020-8.3%-7.8%-7.0%
Q2 2020-16.5%-14.2%-1.7%
Q1 2020-2.2%+0.7%+2.5%
Q4 2019+25.3%+21.5%+7.2%
Q3 2019-16.5%-17.6%-6.2%
Q2 2019+17.6%+17.3%-3.1%
Q1 2019+6.4%+5.4%+6.7%
Q4 2018-4.1%+2.7%+6.0%
Q3 2018+30.8%+35.8%+31.9%
Q2 2018-10.2%-9.7%-12.5%
Q1 2018+2.8%+1.4%+15.1%
Q4 2017-4.5%-1.9%-6.7%
Q3 2017-12.6%-16.0%-19.9%
Q2 2017+9.6%+11.4%+1.3%
Q1 2017-2.7%-2.9%-6.7%
Q4 2016+11.2%
Q3 2016+36.9%
Q2 2016+33.7%
Q1 2016-18.0%
Q4 2015-16.3%
Q3 2015+0.7%
Q2 2015+0.7%
Q1 2015-8.4%
Q4 2014+9.9%
Q3 2014-4.2%
Q2 2014-0.6%
Q1 2014-8.0%
Q4 2013-1.1%
Q3 2013-15.3%
Q2 2013-6.5%
Q1 2012+6.4%
Q1 2013-11.5%
Q1 2011-1.5%
Q4 2012-1.5%
Q4 2010-1.5%
Q3 2011-8.6%
Q3 2012-8.6%
Q2 2012+5.0%
Q4 2011+5.0%
Q2 2011+5.0%

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