Staples Earnings: Here’s Why the Stock is Falling Now
Staples, Inc. (NASDAQ:SPLS) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 9.79%.
Staples, Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased 11.11% to $0.16 in the quarter versus EPS of $0.18 in the year-earlier quarter.
Revenue: Decreased 3.34% to $5.31 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: Staples, Inc. reported adjusted EPS income of $0.16 per share. By that measure, the company missed the mean analyst estimate of $0.18. It missed the average revenue estimate of $5.37 billion.
Quoting Management: “We continue to make progress on our strategic plan to reinvent Staples,” said Ron Sargent, Staples’ chairman and chief executive officer. “We drove online sales growth and aggressively managed expenses during the second quarter, but this progress was offset by weakness in our retail stores and international businesses.”
Key Stats (on next page)…