Monday, Pacific Sunwear of California, Inc. (PSUN) reported a wider loss for the third quarter due to a decline in sales across both genders during the last two weeks of the third quarter.
Net loss for the third quarter was $10.90 million or $0.17 per share, compared with net loss of $2.47 million or $0.04 per share in the year-ago period.
Loss from continuing operations was $10.90 million or $0.17 per share, compared with a loss of $3.52 million or $0.05 per share year-ago.
On average, seventeen analysts polled by Thomson Reuters estimated a loss of $0.20 per share. Analysts' estimates typically exclude special items.
The company's net sales for the third quarter were $268 million, compared with net sales of $323.61 million for the third quarter in the year-ago period.
Sixteen Wall Street analysts estimated a revenue of $260.08 million.
Selling, general and administrative expenses for the quarter declined to $89.36 million from $95.30 million in the comparable period year-ago, while other net expenses declined to $17 thousand from $1.10 million year-ago.
"Through the first 11 weeks of the third quarter, our business performed at the higher end of our internal expectations led by some improving trends in our Young Mens business," stated Gary Schoenfeld, president and chief executive officer. "We've since seen a precipitous decline across both genders during the last two weeks of the third quarter and into the first two weeks of the fourth quarter," he added.
The company's year-to-date net loss narrowed to $33.80 million or $0.52 per share from $36.78 million or $0.55 per share year-ago. Year-to-date loss from continuing operations widened to $33.80 million or $0.52 per share from $11.78 million or $0.18 per share in the prior year period.
Pacific Sunwear's year-to-date net sales declined to $734.53 million from $903.20 million in the year-ago period.
Pacific Sunwear also said it expects to report a loss in the range of $0.28 - $0.35 per share for the fourth quarter, assuming a same-store sales percentage decline in the low twenties. Eighteen Wall Street analysts estimate a loss of $0.11 per share for the fourth quarter.
The company said that this range estimated non-cash store asset impairment charges of approximately $5 million. Any non-cash tax valuation allowance charges or additional store asset impairment charges that the company may incur during the fourth quarter would increase the level of losses for the quarter.
PSUN closed Monday's last trade on the Nasdaq at $5.01, up $0.22 or 4.59%. In the after hours the stock traded down $0.81 or 16.17%.
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