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Earnings Analysis: 
Pier 1, Brown Shoe, Toro disappoint, Williams-Sonoma Met Guidance
Author: 123jump.com Staff
123jump.com
Last Update: 11:19 AM ET August 23 2005



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Pier 1 Imports forecasted same-store August sales to decline 13% to 15% and the second quarter sales to decline 8% to 9%. Toro lowered revenue and earnings guidance for the year. Burlington Coat Factory reported lower earnings on charges stemming from freight disputes and legal actions.

 
Lawn maker Toro Company, Pier 1 Imports and Burlington Coat Factory and Brown Shoe are few of the retailers trimming or missing the earnings guidance.

Toro stock has declined by more than 20% in the last three months from its peak on the lowered earnings guidance and revised sales forecast. Pier 1 Imports have faced declining customer traffic same-store traffic for the last eighteen months. Stock has declined 20% in one year.

The earnings release summaries from other companies are as follows.

Brown Shoe, retail shoe stores operator, posted 2Q earnings of 22 cents a share, down vs. 40 cents a share a year-earlier despite strong sales, missing analysts’ forecasts of 28 cents a share.

The Toro Company, lawnmower maker, posted record 3Q net earnings of 74 cents per share, up vs. 66 cents per share for the year-ago period on strong sales growth. For the quarter sales rose 2.8% to $467 million where the strength in international sales was off-set by the weak domestic sales.

The analysts’ estimate of 65 to 67 cents per share was exceeded due to fewer outstanding shares. The company bought back 5 million shares in the quarter reducing the total outstanding shares to 46.4 million shares.

The company lowered the sales and earnings outlook for the year. The company said that the sales growth for the year will be at the lower end of the previous guidance to 7 to 9 percent to $1.77 to $1.9 billion and earnings rise of 16 to 18 percent to $2.34 to $2.39 per share.

Pier 1 Imports, home furnishings retailer, expects a larger-than-planned 2Q loss on decline in customer traffic and weak same-store sales. 2Q losses are forecasted in the range of 12 cents to 14 cents per share, missing analysts’ expectations of a loss of 6 cents per share.

Burlington Coat Factory Warehouse Corp. (BCF: chart) after Monday's closing bell posted 4Q net earnings of 34 cents a share, down 41% vs. 48 cents a share a year earlier. Revenue at the clothing retailer climbed to $763.7 million vs. $684.8 million a year ago.

Myriad Genetics, biopharmaceutical company, posted 4Q net loss of 32 cents per share, up from 37 cents per share for the same period last year on 60% revenue growth.

Williams-Sonoma, home products retailer, reported 2Q earnings of 26 cents per share, up vs. 23 cents per share for the year-ago period on 12.6% net revenue growth.

Weider Nutrition, label vitamins and nutritional supplements manufacturer, reported a 4Q net loss of 7 cents per share, down vs. a net income of 5 cents per share for the same period last year on sales decline.

Shoe Carnival, a leading retailer of value-priced footwear and accessories, announced 2Q earnings per share rose 33 % to 20 cents from 15 cents per share in the year-ago period on 39% net income growth.

Sanderson Farms, prepared food producer, reported 3Q net income of $1.19 per share, down from $1.69 per share for the year-ago period on slight sales decline and lower- than-experienced-last-year prices.

La-Z-Boy Inc. (LZB: chart) after the closing bell Monday reported 1Q net earnings of 6 cents a share vs. a net loss of 7 cents a share in the same period a year ago. Sales at the furniture company dropped to $451.5 million vs. $455.1 million a year earlier. The company sees 2Q earnings in the range of 17 to 21 cents a share.

ResMed Inc. (RMD: chart) after Monday's closing bell posted 4Q net earnings of 43 cents a share, down 1.7% vs. 45 cents a share in the year-ago quarter. On a pro forma basis, the company posted earnings of 60 cents vs. 45 cents a share last year. Revenue at the medical equipment company climbed to $125.4 million vs. $92.9 million last year.

WPT Enterprises Inc. (WPTE: chart) after Monday’s closing bell posted a 2Q loss of 2 cents a share vs. net earnings of 6 cents a share, for the same quarter a year ago. The entertainment company reported revenue of $6.6 million vs. $4.7 million a year ago. Gross margins were 33.7% in 2Q of 2005 vs. 43.9% in 2Q of 2004.

Hughes Supply Inc. (HUG: chart), wholesale construction materials distributor, posted late Monday 2Q 2006 net earnings of 59 cents a share, down vs. 63 cents a year ago. Revenue for the quarter ended July 31 was $1.33 billion, up 17% from $1.14 billion a year earlier. Analysts had expected the company to earn 58 cents a share on sales of $1.34 billion.
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