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Feb 01, 2020

Vera Bradley Q4 2020 Earnings Report

Vera Bradley's fourth quarter results reflected the Pura Vida acquisition, with consolidated revenues up 32.8% and Vera Bradley comparable sales growing 2.4%.

Key Takeaways

Vera Bradley, Inc. reported a strong fourth quarter with consolidated revenues increasing by 32.8% to $156.9 million, driven by the acquisition of Pura Vida. Vera Bradley comparable sales also grew by 2.4%.

Consolidated net revenues increased by 32.8% to $156.9 million, including $35.5 million from Pura Vida.

Vera Bradley comparable sales grew by 2.4% for the quarter.

Net income totaled $12.5 million, or $0.37 per diluted share, and non-GAAP net income totaled $14.3 million, or $0.42 per diluted share.

The company ended the fiscal year with a strong cash and investment position of $73.8 million and no debt.

Total Revenue
$157M
Previous year: $118M
+32.8%
EPS
$0.42
Previous year: $0.33
+27.3%
Vera Bradley Comparable Sales Growth
2.4%
0
Gross Profit
$86.1M
Previous year: $67.1M
+28.4%
Cash and Equivalents
$49.9M
Previous year: $113M
-56.0%
Free Cash Flow
$28M
Previous year: $30.4M
-8.1%
Total Assets
$535M
Previous year: $362M
+47.7%

Vera Bradley

Vera Bradley

Vera Bradley Revenue by Segment

Forward Guidance

For fiscal year 2021, the company expects consolidated net revenues of $555 to $585 million and diluted earnings per share of $0.93 to $1.08.

Positive Outlook

  • Enhanced brand and customer engagement.
  • Continued product innovation.
  • Focus on operational excellence.
  • Strong and unique culture.
  • Improvement in sourcing and operational efficiencies as well as the inclusion of Pura Vida

Challenges Ahead

  • Uncertainties in the global environment.
  • Potential supply chain implications from Coronavirus (COVID-19).
  • Potential revenue implications from Coronavirus (COVID-19).
  • Difficulty in predicting Fiscal 2021 financial performance.
  • Not providing quarterly guidance until more clarity on the situation.

Revenue & Expenses

Visualization of income flow from segment revenue to net income