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Oxford Industries popped higher after posting mixed Q2 (Jul) results, as investors cheered the reaffirmation of full-year EPS guidance — a key win after last quarter's sharp downward revision.

• Q2 EPS beat expectations, but revenue declined 4% yr/yr to $403.1 mln, slightly below estimates; Q3 guidance disappointed: a larger-than-expected loss is forecasted, with midpoint revenue also falling short of consensus.
• Total Q2 comps were -5%, in-line with guidance. Lilly Pulitzer continued to shine with a low-single digit positive comp, offsetting wholesale softness. Tommy Bahama and Johnny Was struggled with high-single digit and low-double digit negative comps, respectively.

Execution issues at Tommy Bahama (color assortment, product line gaps) hurt early summer sales, especially in Florida. However, quick merchandising fixes have helped stabilize trends.

• Early Q3 comps are positive quarter-to-date across all brands. Lilly Pulitzer remains solid. Tommy Bahama is flattish but showing meaningful improvement from earlier in the year, driven by recovering store traffic in July and August.

Briefing.com Analyst Insight:

• Key positives driving the rally: Full-year EPS guidance reaffirmed, easing fears of another cut. Continued resilience in Lilly Pulitzer, even amid broader retail pressures.

• Dividend maintained — the yield, though lower now after the stock's move, remains elevated at ~5.5%, a rarity in struggling apparel retail. While Q3 guidance was soft and some brand-level challenges remain, investors appear focused on stabilization and the fact that the worst may be priced in.