The 3 Biggest Things From Lumber Liquidators' Third Quarter
When the dust cleared after trading on October 31, shares of Lumber Liquidators Holdings Inc (NYSE: LL) were down almost 11.5% on the day, following the release of its third-quarter results. If you just read the headlines on any of the popular finance websites that cover the company, the clear impression would be that it was an ugly quarter for the flooring retail specialist.
The reality? Sure, Lumber Liquidators did "miss" Wall Street analyst estimates for revenue, which was up 5.4%, to $257.2 million, and GAAP earnings, which were a net loss of $18.9 million. But it's more important to recognize that sales and customer traffic continued to improve, margins were stronger, and much of the earnings "miss" was because the company took a charge related to something very good for the company and investors: settling litigation tied to Chinese-made laminate flooring and putting an ugly part of its past firmly behind it.
Let's take a closer look at the company's results and break down the three key takeaways from the quarter that investors should be pleased about.
Source: Fool.com
