Pacific Sunwear (PSUN +15.2%) shares are up sharply after the company beat expectations on the top-line in Q3 and forecast comps momentum to continue in Q4. A string of other retailer misses may also be buoying the market's reaction.
Comparable store sales grew 1% Y/Y. The company ended the quarter with 635 stores, a 13.4% Y/Y decline.
Gross margin of 25.0% fell 300 bp from Q3 2012.
Management guides for Q4 revenue of $216M-$225M (vs. consensus of $218.7M) on comps of 1% to 5% and EPS of -$0.17 to -$0.12 (-$0.11).
PR, conference call (transcript)