DALLAS (AP) — Zale's fiscal fourth-quarter loss narrowed, helped by a much lower interest expense and increased revenue.
The jewelry company's performance topped analysts' expectations. Its stock jumped more than 8 percent before the market open on Wednesday.
The results come one day after high-end jewelry company Tiffany & Co. reported that its second-quarter earnings climbed 16 percent and it raised its full-year earnings forecast.
Zale Corp. lost $8 million, or 25 cents per share, for the three months ended July 31. A year ago it lost $19.7 million, or 61 cents per share.
Analysts expected a bigger loss of 33 cents per share, according to a FactSet poll.
Interest expense declined to $5.6 million from $14.5 million, while depreciation and amortization expense dropped to $8 million from $9.4 million.
Revenue rose 3 percent to $417.1 million from $407 million. This beat Wall Street's forecast of $408.7 million.
Shares of Zale added $1.59, or 17 percent, to $10.49 in premarket trading shorting before the market opening.
Revenue at stores open at least a year climbed 5.6 percent. But this was slower than the 8.3 percent increase a year earlier.