NEW YORK (TheStreet) -- Shares of Vera Bradley Inc (VRA) were plummeting, sharply down 10.4% to $12.67 in early market trading Wednesday, after the handbag maker posted a quarterly loss and said it was not attracting enough new customers.
For the period, the company reported a break-even first quarter while analysts polled by Thomson Reuters expected the company to report a profit of 2 cents per share.
Revenue came in at $101.1 million for the period, compared to the $105.48 million analysts had expected for the first quarter.
In the same quarter of last year, Vera Bradley posted a profit of 17 cents per share on revenue of $112.2 million.
Looking ahead, the company forecasts second quarter fiscal 2016 earnings of between 10 cents to 13 cents per share on revenue of between $116 million to $120 million. Analysts expect the company to report second-quarter earnings of 17 cents per share on revenue of $121.21 million.
For fiscal 2016, Vera Bradley revised its guidance and now sees earnings of between 64 cents to 74 cents per share on revenue of between $480 million to $495 million. Analysts expect the company to report fiscal 2016 earnings of 84 cents per share on revenue of $512.67 million.
Roanoke, Ind.-based Vera Bradley is a designer, producer, marketer, and retailer of functional accessories for women.
The company's products include a range of offering of handbags, accessories, and travel and leisure items.
Separately, TheStreet Ratings team rates VERA BRADLEY INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate VERA BRADLEY INC (VRA) 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 largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, deteriorating net income and weak operating cash flow."
You can view the full analysis from the report here: VRA Ratings Report