Container Store aims for $2 billion in sales by 2027

Shares of Container Store Group Inc. rallied more than 10% in the extended session Tuesday after the retailer reported fiscal fourth-quarter earnings and sales above Wall Street expectations and promised $2 billion in yearly sales within five years. The Container Store said it earned $23.2 million, or 46 cents a share, in the quarter, compared with $35.1 million, or 69 cents a share, in the fourth quarter of fiscal 2020. Sales fell 3% to $305.5 million, the company said. A compared with 2019, sales were up 27%, Container Store said. FactSet consensus called for earnings of 26 cents a share on sales of $280 million. The retailer guided for more than $2 billion in net sales and "more than double" EPS by by the end of fiscal 2027. "Over this period of time, the company expects to drive low double-digit annual sales growth," plus the expectation to open 76 new stores by the end of that year. The stock ended the regular trading day down 1.5%.

Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.