Dillard's estimates 2026 depreciation and amortization at $175 mln
Company expects 2026 capital expenditures of $120 mln
Dillard's does not expect further significant IEEPA tariff refunds
Result drivers
Tariff refunds — Retail gross margin benefited from $37.2 mln in IEEPA tariff refunds, per company
Category performance — Sales increased significantly in ladies’ accessories and lingerie, moderately in home and furniture, slightly in shoes, men’s apparel and accessories and cosmetics; sales decreased moderately in juniors’ and children’s apparel and ladies’ apparel
Higher payroll costs — Operating expenses rose primarily due to higher payroll and payroll-related expenses
Quarterly results
U.S. department store's Q2 revenue slightly missed analyst expectations, adjusted EPS beat consensus
Retail gross margin rose to 40.9%, boosted by $37.2 mln in tariff rebates
Operating expenses increased due to higher payroll and payroll-related expenses
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 2 "hold" and 2 "sell" or "strong sell"
The average consensus recommendation for the department stores peer group is "buy"
Wall Street's median 12-month price target for Dillard's Inc is $557.50, about 12.3% below its August 12 closing price of $636.02
The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 17 three months ago
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