Earnings
Movado Beats Expectations, Shares Surge 17%
Jeanine Poggi
06/09/09 - 10:44 AM EDT
Time is not on Movado's(MOV Quote) side.
The watch maker swung to a loss in the first quarter, hurt by weaker sales as consumers continue to cut back on discretionary purchases.
But the results were better than expected, sending shares up 17.5% to $9.52 in morning trading.
During the quarter, the company posted a loss of 9 million, or 37 cents a share, compared with a profit of $1.2 million, or 5 cents, in the year-ago period. Analysts expected a loss of 48 cents.
Sales fell 33% to $67.6 million.
Going forward the company expects full-year earnings of 50 cents a share, compared to a loss of 9 cents last year. In a statement, Movado said its 2010 estimate depends on an improvement in sales.