B2W Cia. Global do Varejo rose to a six-week high in Sao Paulo after the online retailer reported last week quarterly sales that exceeded analysts’ estimates.
The Rio de Janeiro-based company’s shares rose for a third session, jumping 2.8 percent to 12.13 reais at the close of trading. The advance extended its three-day gain to 18 percent. The benchmark Bovespa index climbed 1.9 percent today.
B2W’s advance is “a reflection of last week’s results, which signaled that they achieved good sales growth despite still posting a loss,” Caue de Campos Pinheiro, an analyst at SLW Correctora, said in a telephone interview from Sao Paulo. “This shows the company is becoming competitive again.”
Third-quarter consolidated sales rose 17 percent to 1.23 billion reais ($591 million) from a year earlier, B2W said in a Nov. 13 statement on its website. The average estimate (BTOW3:US) among 11 analysts surveyed by Bloomberg was for sales of 1.12 billion reais. The third-quarter net loss was 45.2 million reais.
B2W fell 71 percent in 2011, the worst performance on the Bovespa, as increased competition eroded sales and profit. The stock has gained 35 percent this year as the benchmark declined 0.5 percent.
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