Francesca's same-store sales growth slows and shares fall

Women's clothing retailer Francesca's Holdings Corp reported a 29 percent rise in quarterly revenue but a slowdown in same-store sales growth dragged down the company's shares 10 percent in post-market trading.

Francesca's said sales at stores open for more than a year rose 2 percent in the quarter ended May 4, compared to a 16 percent growth a year earlier. The latest quarter number was below the 5 percent increase the Wall Street had expected, Cowen & Co analyst John Kernan said.

Net income rose to $10.9 million, or 24 cents per share, in the first quarter from $8.7 million, or 20 cents per share, a year earlier.

Excluding charges related to a secondary equity offering, the company earned 26 cents per share. Sales rose 29 percent to $79.0 million, driven by 56 boutique openings in the quarter.

Analysts on average had expected earnings of 26 cents per share on revenue of $79.6 million, according to Thomson Reuters. The company's shares closed at $30.09 on the Nasdaq on Wednesday.