Big Lots' stock set to sink after wider-than-expected loss, outlook cut
Shares of Big Lots Inc. (BIG) were indicated down nearly 8% in premarket trade Friday, after the discount home furnishings and food retailer reported a wider-than-expected fiscal third-quarter loss and cut its outlook, while same-store sales beat. The company swung to a net loss for the quarter to Nov. 3 of $6.6 million, or 16 cents a share, from a profit of $4.4 million, or 10 cents a share, in the same period a year ago. That compares with the company's previous per-share guidance range of a loss of 6 cents to a profit of 4 cents, and the FactSet consensus of a 1-cent loss. Sales rose to $1.15 billion from $1.11 billion, topping the FactSet consensus of $1.14 billion, as same-store sales growth of 3.4% beat expectations of a 3.0% rise. The company said it expects near-term results to be "challenging" this holiday season. For fiscal 2018, the company affirmed its same-store sales growth guidance of "approximately 1%," but cut its adjusted EPS outlook to $3.55 to $3.75 from $4.40 to $4.55. The stock has tumbled 28% year to date through Thursday, while the SPDR S&P Retail ETF (XRT) has slipped 0.4% and the S&P 500 has gained 0.8%.
-Tomi Kilgore; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
December 07, 2018 06:38 ET (11:38 GMT)
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