Bebe Stores Falls on Guidance
Women's clothing retailer
bebe stores
(BEBE)
said second-quarter earnings jumped 25%, but predicted third-quarter earnings below analysts' estimates, causing its shares to fall.
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The Brisbane, Calif.-based company earned $13.9 million, or 53 cents a share, compared with $10.8 million, or 42 cents a share, a year earlier. Analysts were calling for a profit of 50 cents a share.
The company said it expects to earn 4 cents to 7 cents a share in the third quarter and expects same-store sales to be in the low-to-mid single digit range. Analysts expect earnings of 9 cents a share in the third quarter.
Total sales increased 11% to $112 million, from $100.8 million in the prior second quarter. Same-store sales rose 7.1%, compared with a decrease of 8.1% in the prior year.
Operating income was up 29.9% at $21.7 million, and gross margin was 48.3%, compared with last year's 48.0%.
Shares were down 62 cents, or 2.2%, to $26.99.
