3Q 2017 Thomson Reuters Retail and Restaurant Aggregate Estimates and Revisions
Retailers this week: November 13 – 17
Walmart and Home Depot’s Q3 sales received a boost from hurricanes, while others were hurt. One of the biggest surprises came from Walmart, which reported thirteen quarters of positive SSS. The retailer raised guidance, and is upbeat going into the holiday season. Accordingly, analysts polled by Thomson Reuters are bullish and expect positive earnings and revenue growth over the next three quarters.
Exhibit 1: Retailers reporting Same Store Sales and Earnings – Nov 13 -17
Holiday Q4 2017 Earnings and Revenue Guidance
Retailers are already warning us not to expect much in the next reporting cycle. We continue to receive more negative guidance. For Q4 2017, there have been 31 negative EPS preannouncements issued compared to only 6 positive EPS pre-announcements. The bulk of the negative guidance (26%) comes from the apparel sector.
Exhibit 2: Holiday Guidance – Q4 2017 vs. Q3 2017
Source: Thomson Reuters I/B/E/S estimates
SAME STORE SALES:
Of the 37 retailers that have reported 3Q Same Store Sales, 49% exceeded estimates, while 51% missed.
Exhibit 3: Retail Same Store Sales Scorecard
RESTAURANT SAME STORE SALES:
Of the 35 restaurants that have reported 3Q Same Store Sales, 51% exceeded estimates, while 49% missed.
Exhibit 4: Restaurant Same Store Sales Scorecard
Please note: if you use our earnings data, please source Thomson Reuters I/B/E/S.
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