Ascena Retail Group, Inc. reported unaudited consolidated earnings results for the second quarter and six months ended January 27, 2018. For the quarter, net sales were $1,719.0 million against $1,748.2 million a year ago. Operating loss was $35.6 million against $44.7 million a year ago. Loss before benefit for income taxes was $61.2 million against $69.3 million a year ago. Net loss was $39.3 million against $35.2 million a year ago. Net loss per basic and diluted common share was $0.20 against $0.18 a year ago. Non-GAAP adjusted operating loss was $11.5 million against income of $2.8 million a year ago. Non-GAAP net loss was $24.3 million against $13.7 million a year ago. Non-GAAP diluted net loss per share was $0.12 against $0.07 a year ago. Adjusted EBITDA was $75.2 million against $90.3 million a year ago. Capital expenditures totaled $41 million in the second quarter of fiscal 2018, primarily to support new capabilities and strategic initiatives.

For six months, net sales were $3,308.7 million against $3,426.6 million a year ago. Operating income was $4.3 million against $6.5 million a year ago. Loss before benefit for income taxes was $47.7 million against $43.5 million a year ago. Net loss was $32.7 million against $20.8 million a year ago. Net loss per basic and diluted common share was $0.17 against $0.11 a year ago. Non-GAAP adjusted operating income was $57.4 million against $88.9 million a year ago. Non-GAAP net loss was $3.3 million against income of $22.3 million a year ago. Non-GAAP diluted net loss per share was $0.02 against earnings of $0.11 a year ago. Adjusted EBITDA was $231.2 million against $262.5 million a year ago.

For the quarter, the company reported impairment of assets of $3.2 million.

Fiscal year 2018 third quarter non-GAAP loss per share is estimated in the range of $0.12 to $0.07, supported by the following assumptions: net sales in the range of $1.48 billion to $1.52 billion; Comparable sales in the range of down 3% to down 5%; Gross margin rate in the range of 59.7% to 60.2%; Depreciation and amortization expense of approximately $86 million; Operating income in the range of $5 million to $20 million; Interest expense of approximately $28 million; and minimum taxes of approximately $2.5 million.

The company continues to expect full year capital expenditures in the range of $190 million to $220 million.