Hibbett drops on cutting FY earnings forecast to below estimates

Hibbett

26/05/2023 13:41

** Shares of athletic apparel retailer Hibbett  HIBB.O  fall
5% to $42 premarket, lowest since May 25, 2022
    ** Co now expects FY24 comparable sales to decline in
low-single digit from prior expectations of a low-single digit
rise on softer sales and cautious consumer spending
    ** HIBB trims 2024 diluted earnings per share to $7.00-$7.75
vs $9.50-$10.00 forecast earlier, below analysts' estimates
    ** Sees FY gross margins of 33.9% to 34.0%, down from prior
34.9% to 35.0% due to higher promotions
    ** Co's Q1 earnings of $2.74/share, lower than Refinitiv
IBES estimate of $3.00 per share, miss estimates for a sixth
consecutive quarter
    ** Sees higher impact from a challenging retail environment
and weak consumer confidence on its Q2 earnings, compared with
the second half of the year
    ** Up to Thursday's close, stock down about 35% YTD
    

 (Reporting by Savyata Mishra in Bengaluru)
 ((Savyata.Mishra@thomsonreuters.com))