Discount warehouse clubs operator PriceSmart Inc. (PSMT), Tuesday said its profit for the second quarter increased from last year, as warehouse club sales continued to improve.
Net warehouse club sales, which contributes to a major part of revenues, advanced 10 percent. The growth indicates that consumers prefer shopping at warehouse clubs, which are considerably less expensive than other retailers, amidst the ongoing economic conditions. The company operated 30 warehouse clubs as of February 2013 compared to 29 last year.
PriceSmart's total revenues for the second quarter grew to $607.4 million from $548.4 million last year. Five analysts polled by Thomson Reuters had a consensus revenue estimate of $609.67 million for the quarter.
The company has been able to post a double-digit revenue growth for more than ten consecutive quarters.
The San Diego, California-based company's profit for the second quarter improved to $24.9 million or $0.82 per share from $20.2 million or $0.67 per share last year. Analysts expected earnings of $0.77 per share for the quarter. Analysts' estimates typically exclude special items.
For March 2013, the company said its comparable warehouse club sales increased 7.9 percent from last year.
PSMT closed Tuesday at $80.21, down $0.21 or 0.26%, on the Nasdaq. In after hours, the stock gained $2.49 or 3.10%.
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