Fossil stock plunges 28% after surprise quarterly loss

Shares of Fossil Group Inc. tanked 28% in the extended session Wednesday after the watchmaker swung to a surprise quarterly loss and said its sales fell 11%. Fossil said it lost $26 million, or 51 cents a share, in the third quarter, versus earnings of $5 million, or 10 cents a share, in the third quarter of 2018. Sales declined to $539.5 million from $609 million, mostly on “headwinds” for its wholesale sales in the Americas and Europe, offset by a sales increase in Asia, Fossil said. Analysts polled by FactSet had expected GAAP earnings of 21 cents a share on sales of $558 million. The company guided for a decline in sales between 13% and 11% for 2019, and income before income taxes in a range between $18 million and $34 million for the year. It did not provide EPS guidance. The stock had ended the regular trading day down 2.9%.

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