• Q3 net income of US$41.7m versus $37.3m 
  • Sales slip to $492.7m from $500.9m 
  • Comparable retail sales down 0.7%

The Children's Place Retail Stores has seen its third-quarter profit increase on the back of lower expenses - and raised its full-year earnings outlook.

The children's wear retailer said it managed to cut selling general and administrative expenses by 6.4% to $123.5m during the 13 weeks to 2 November, compared to $131.9m in the same period of the prior year.

"We achieved the high-end of our earnings guidance as a result of strong execution of our important back-to-school period, and the continuation of disciplined expense management across the organisation," said Jane Elfers, president and CEO.

"We are well-positioned as we enter the fourth quarter and look forward to making substantive progress on our key strategic initiatives."

The group now expects full-year adjusted net income per share to be $3.20-3.28, assuming negative low-single digit comparable retail sales. This compares to its earlier guidance of $3.15-3.28 and negative low-single digit comparable retail sales.

For the fourth quarter, Children's Place expects adjusted net income per share to be between $0.90 and $0.98, and comparable store sales to be in the negative low-single digit range.