Shares of Hibbett Sports Inc. tumbled 7% toward a 9-year low in light in premarket trade Friday, after the athletic apparel retailer reported fiscal second-quarter sales that missed expectations and slashed its outlook. For the quarter to July 29, the company swung to a net loss of $3.2 million, or 15 cents a share, from a profit of $6.5 million, or 29 cents a share, in the same period a year ago. The FactSet consensus was for a loss of 20 cents a share. Revenue declined to $188.0 million from $206.9 million, below the FactSet consensus of $190.3 million, while the 11.7% drop in same-store sales missed expectations of a 10.0% decline. Gross margin narrowed to 28.9% of net sales from 33.0%, primarily because of promotions and markdowns taken to liquidate excess and aged inventory. The company slashed its full-year EPS outlook to a range of $1.25 to $1.35 from $2.35 to $2.55, and its same-store sales guidance to “negative mid to high single-digit range” from “negative 1.0% to positive 1.0%.” The stock has plunged 69% year to date through Thursday, while the SPDR S&P Retail ETF has shed 13% and the S&P 500 has gained 8.5%.
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