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%.
Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.
This article does not constitute investment advice. We are not affiliated or responsible for content hosted on 3rd-party sites in any way.