(By Balaseshan) Specialty retailer Limited Brands Inc. (NYSE:LTD) has raised its second quarter adjusted earnings guidance and declared dividend, backed by a 12% growth in July comparable store sales.
The company's board of directors has declared a special dividend of $1 per share and its regular quarterly dividend of $0.25 per share, consistent with its ongoing commitment to return value to shareholders. Both the dividend will be paid on September 7, to shareholders of record at the close of business on August 23.
The Columbus, Ohio-based company reported a comparable store sales growth of 12% for the four weeks ended July, despite a 1% decline in sales to $649.8 million.
The company increased its second quarter adjusted earnings guidance to range of $0.46 to $0.48 per share from previous forecast of $0.40 to $0.45 per share, while Street predicts $0.46 per share.
In addition, Limited Brands posted a comparable store sales increase of 8% for the second quarter. Sales decreased 2.4% to $2.399 billion.
The company reported a comparable store sales rise of 8% for the 26 weeks ended July 28, 2012. Sales fell to $4.553 billion from $4.675 billion.
Sales figures for July 2011, 2011 second quarter and 2011 year-to-date included $67.7 million, $216.6 million and $430.6 million, respectively, attributable to the third party apparel sourcing business, which was sold in November 2011.
LTD closed Wednesday's regular session down 1.54% at $46.82. The stock has been trading between $31.43 and $51.84 for the past 52 weeks.