NEW YORK (TheStreet) -- Shares of Pier1 Imports (PIR) - Get Report are down by 11.19% to $7.70 in after-hours trading on Thursday, following the release of the company's second quarter earnings results.
The Fort Worth, TX-based home decor and furniture importer reported second quarter earnings of $3.2 million, or 4 cents per share on revenue of $430 million.
Analysts on average were expecting the company to report net income of 8 cents per share on revenue of $435.6 million.
For the year, the company expects to earn between 56 cents and 64 cents per share.
"We are disappointed with our second quarter sales and earnings results," said CEO Alex W. Smith. "Top line growth was below our expectations, with company comparable sales up 3.8% on a constant currency basis. During the period, our margins were impacted by increased promotional and clearance activity, as well as inventory related issues within our distribution center network."
Separately, TheStreet Ratings team rates PIER 1 IMPORTS INC/DE as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate PIER 1 IMPORTS INC/DE (PIR) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, reasonable valuation levels and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and a generally disappointing performance in the stock itself."