Pier 1 Imports Stock Down 9% After Results Miss Street

(RTTNews) - Shares of Pier 1 Imports Inc. (PIR) slipped about 9 percent in extended trading session on Wednesday after the company's profit and revenues for the second quarter fell short of Wall Street estimates.

Fort Worth, Texas-based Pier 1 Imports' second-quarter loss widened to $51.1 million or $0.63 per share from $7.8 million or $0.10 per share last year. Analysts polled by Thomson Reuters estimate loss of $0.61 per share for the quarter. Analysts estimates typically exclude one-time items.

Sales for the quarter dropped 12.8 percent to $355.3 million from $407.6 million last year. Analysts had a consensus revenue estimate of $360.29 million for the quarter.

The company's comparable sales for the three-month period decreased 11.4 percent compared to last year. The company operated 989 stores at the end of the second quarter, a decrease of 23 from last year.

Commenting on the results, CEO Alasdair James said, "As previously communicated, our second quarter financial results reflect execution challenges around our August brand re-launch and our 'New Day' strategic plan initiatives taking longer than expected to gain traction."

Gross margins dropped to 26.3 percent from 34.4 percent last year, while selling, general and administrative expenses increased to 40.3 percent from 33.9 last year.

PIR closed Wednesday's trading at $1.54, up $0.04 or 2.67%, on the NYSE. The stock, however, slipped 9.09% in the after-hours trading.