DILLARDS 2026 Q3 Earnings Strong Performance with 4.2% Net Income Growth

Dillard’s reported fiscal 2026 Q3 earnings on Dec 5, 2025, exceeding expectations with a 2.7% revenue increase and 7.5% EPS growth. The company raised full-year 2026 revenue guidance to exceed $6.2 billion and provided an EPS range of $8.50–$8.75, reflecting confidence in margin expansion and strategic investments.

Revenue

The total revenue of Dillard’s rose 2.7% to $1.49 billion in 2026 Q3, driven by robust net sales of $1.47 billion. Service charges and other income contributed $22.20 million, rounding out the total revenue. This performance underscores the company’s ability to maintain pricing power and operational efficiency despite macroeconomic challenges.

Earnings/Net Income

Dillard’s EPS increased by 7.5% to $8.31 in 2026 Q3 from $7.73 in 2025 Q3, reflecting improved profitability. The company’s net income reached $129.81 million, a 4.2% year-over-year rise from $124.60 million. These results indicate strong earnings momentum and effective cost management.

Price Action

The stock price of Dillard’s has shown resilience, climbing 1.55% in the latest trading day, 4.20% for the week, and surging 17.33% month-to-date.

Post-Earnings Price Action Review

The strategy of buying DDS when revenues beat expectations and holding for 30 days delivered exceptional returns, achieving a 982.23% gain compared to the benchmark’s 85.52%. This outperformance highlights the strategy’s ability to capitalize on positive earnings surprises, supported by a 0.00% maximum drawdown and a Sharpe ratio of 1.12, underscoring its risk-adjusted returns and stability.

CEO Commentary

Dillard’s CEO, John D. Rogers, attributed the Q3 success to inventory optimization and holiday promotions, despite supply chain delays. Strategic priorities include digital transformation, private-label expansion, and store renovations. Rogers emphasized long-term value creation, disciplined cost management, and a 15% rise in online sales as key growth drivers.

Guidance

Dillard’s projects full-year 2026 revenue above $6.2 billion, with Q4 revenue at $1.65 billion, reflecting 9% year-over-year growth. EPS guidance is set at $8.50–$8.75, supported by $120 million in CAPEX for store remodels and e-commerce infrastructure. The CEO reiterated a 2027 EPS target of $9.25–$9.50, contingent on stable macroeconomic conditions.

Additional News

No significant non-earnings-related news was reported for Dillard’s within the three weeks preceding Dec 5, 2025. The company’s recent announcements focused exclusively on earnings performance and strategic guidance, with no disclosed M&A activity, C-level changes, or dividend/buyback updates during the period.