• Q4 profit up 38% to $18.5m
  • Same store sales rose 14.9%
  • Annual profit increased 97% 

Discount shoe retailer DSW Inc has raised its earnings outlook for the year ahead after booking a 38% jump in fourth quarter profit on higher sales. 

Net income for the three months to 29 January rose to $18.5m or $0.41 per share, up from $13.4m or $0.30 per share last year. Net sales surged 16.4% to $468.5m in the quarter, from $402.6 a year ago. Same store sales rose 14.9%.

For the year, net income nearly doubled to $107.6m or $2.40 per share, up from $54.7m or $1.23 per share the year before. Total sales were up 13.7% to $1.82bn and same store sales climbed 13.2%.

Looking ahead, the company sees earnings per share in the range of $2.60 to $2.75, on a 3-5% rise in comparable store sales.

DSW, which operates 312 stores, is in the process of buying its largest shareholder, Retail Ventures Inc, in a tax-free stock swop.