nudged its second-quarter guidance up slightly, but the company warned that its comparable-store sales for the quarter would be worse than expected.
The company, which operates 375 Borders books and music superstores in the U.S., as well as 815 Waldenbooks stores, said it will earn 3 cents to 4 cents a share in the quarter, slightly up from its previous forecast of 2 cents to 3 cents a share.
Analysts polled by Thomson Financial/First Call are looking for 3 cents.
Borders added that it now expects quarterly same-store sales to be lower than previously forecast, declining 1% to 1.5%, due primarily to continued softness in music sales. Comparable-store sales at Waldenbooks are expected to fall about 0.5%, in line with guidance.
Shares of Borders closed at $16.60 Monday before the news.