Aaron’s grew its net earnings and surpassed $1 billion in revenue for the first quarter ended March 31.
Aaron’s posted net earnings of $56.1 million, or 82 cents per diluted share, versus $52.2 million, or 73 cents per diluted share, in the period a year earlier. Adjusted for one-time effects, earnings were $74.3 million, or $1.08 per diluted earnings per share, compared with $58.3 million, or 81 cents per diluted share, for the year-previous period.
The company topped a MarketBeat-published analyst consensus estimate of 93 cents per adjusted diluted earnings per share for the first quarter.
In the core business, comparable revenues gained 0.7% in the quarter year over year, as total revenue advanced 4.6% to $480.1 million.
Company-wide total revenues were $1.01 billion versus $954.8 million in the quarter a year prior, while operating profit advanced to $73.9 million from $70.1 million in the 2018 period.
Calculated to compensate for a lease accounting change in the year over year comparison, first quarter revenues increased $103.8 million, or 11.4%, from the year-before period. In the online Progressive Leasing business, revenues were $523.4 million compared to $486.5 million in the 2018 first quarter. Adjusted for the accounting change, revenues increased $83.4 million or 19%, from the year-earlier period.
“We are pleased to report a strong start to the year, achieving over $1 billion in quarterly revenues for the first time and 33% growth in non-GAAP earnings per share,” said Aaron’s CEO John Robinson. “Progressive continues to perform at a high level and is executing well with its new and existing retail partners. At the same time, it continues to make meaningful investments ahead of expected strong revenue growth and pipeline conversion. The Aaron’s business reported results in-line with our expectations and achieved positive same store revenues. We are encouraged by the success the Aaron’s business is experiencing in its business transformation initiatives.”