Why Shares of La-Z-Boy Inc. Plunged Today
Shares of furniture company La-Z-Boy (NYSE: LZB) tumbled on Wednesday following a lackluster fiscal first-quarter report. The company missed analyst estimates for both revenue and earnings, with higher costs knocking down margins, and disappointing investors. This comes after a relatively strong fourth-quarter report in June. At noon, the stock was down about 17.8%.
La-Z-Boy reported first-quarter revenue of $357.1 million, up 4.8% year over year, but about $2 million below the average analyst estimate. Sales in the upholstery segment rose 2.6%, to $274.4 million, sales in the case-goods segment rose 1.9%, to $25.5 million, and sales in the retail segment rose 15.5%, to $110.5 million. Same-store written sales for the La-Z-Boy Furniture Galleries network increased by 0.7%, while delivered-comparable sales sank 1.1%.
Image source: La-Z-Boy.
Source: Fool.com
