badly missed analysts' expectations for the third quarter, blaming excess inventory and a generally difficult retail environment.
The apparel retailer reported net income for the latest third quarter of $5.6 million, or 13 cents a share, compared with $14.2 million, or 33 cents a share, in the year-ago period. Analysts expected the company to earn 36 cents a share for the quarter, according to
First Call/Thomson Financial
Revenue for the third quarter rose 39.1% to $216.4 million from $155.5 million a year ago.
The company also projected that fourth-quarter earnings will be lower than expected, coming in at 8 cents to 10 cents a share on an operating basis. The company expects a fourth-quarter charge of up to $10 million for store closures. Wall Street expects the company to earn 36 cents a share for the fourth quarter.
For next year, Guess? expects revenue to grow 8% to 12%.