• Q4 adjusted net profit up 74% to US$49m
  • Net sales up 29% to $939.7m
  • Sales up 8% on underlying basis

Ascena Retail Group has posted a notable surge in fourth quarter adjusted net profit as the company absorbed its recent acquisition of apparel retailer Charming Shoppes.

Reported net income was more than halved to US$11.2m, but surged up 74% on an adjusted basis, driven by an 8% increase in adjusted net sales.

This was driven by new stores and e-commerce, Ascena said, and comparable store sales increasing 2%, led by Justice at 5%.

Company president and CEO David Jaffe hailed the past 12 months as a “landmark year” and said: “In addition to executing well at each of our businesses and maintaining a solid pace of quarterly results, we completed yet another transformative acquisition.”

Ascena is forecasting adjusted earnings per share of $1.45-1.55 in fiscal 2013, based on a mid single-digit increase in comparable store sales.

The company completed the acquisition of Charming Shoppes on 14 June.