Shares of Hooker Furniture (HOFT - Get Report) retreated Thursday as the Martinsville, Va.-based furniture maker lowered its second-quarter sales forecast to a range of flat to 2% lower than a year ago. The company had said previously that it expected sales to increase in a range of 3% to 7% over last year's sales of $88.7 million.
"A softening in business at retail has dampened our expectations for the current quarter," said CEO Paul B. Toms Jr. in a statement. "We believe this decline has been precipitated by rising energy prices and a decrease in housing activity." Toms added that the company "had a solid April International Home Furnishings Market. The new products we introduced there will begin to ship in late summer, which should help spur an upturn in business heading into the fourth quarter." Shares fell $2.16, or 11.4%, to $16.84 in recent trading.
Relm Wireless (RWC - Get Report) surged as the West Melbourne, Fla.-based wireless communications-equipment maker said it has received orders valued at $2.3 million from a federal government agency. The company said $1.5 million of this total was for digital P25-compliant radio products, and it expects to ship these orders in the second quarter. Sales jumped 92 cents, or 13.6%, to $7.70 in recent trading.
Shoe Carnival (SCVL - Get Report) lost ground as the Evansville, Ind.-based footwear retailer saw first-quarter income grow but guided below Wall Street's estimates for the second quarter and the year.The company posted income of $7.4 million, or 54 cents a share, up from $5.9 million, or 45 cents a share, a year ago. The most recent quarter includes stock-option expenses of 3 cents a share. Sales increased 4.8% to $168.5 million. Comparable-store sales increased 4.1%. Analysts polled by Thomson First Call were looking for earnings of 53 cents a share on revenue of $169.5 million. For the second quarter, the company forecast earnings of 23 cents to 25 cents a share and $1.65 to $1.75 a share for the year. Wall Street is looking for 27 cents a share for the second quarter and $1.71 a share for the year. Shares fell 92 cents, or 3.6%, to $25.01 in recent trading.