Finish Line's stock soars after results beat expectations, with same-store sales showing surprise growth
Shares of Finish Line Inc. soared 6.9% in premarket trade Thursday, after the footwear retailer reported better-than-expected fiscal third-quarter results, including a surprise increase in same-store sales. The net loss for the quarter to Nov. 25 narrowed to $12.9 million, or 32 cents a share, from $40.4 million, or $1.00 a share, in the same period a year ago. Excluding non-recurring items, the per-share loss was 26 cents, compared with the FactSet consensus for a loss of 36 cents. Revenue rose 1.8% to $378.5 million, beating the FactSet consensus of $361.0 million, as same-store sales growth of 0.8%, which was the first increase in five quarters, beat expectations of a 4.5% decline. For the fourth quarter, the company expects adjusted EPS of 50 cents to 58 cents, surrounding the FactSet consensus of 54 cents. Finish Line also expects current-quarter same-store sales to decline 3% to 5%, while the FactSet consensus is for a decline of 3.7%. The stock had tumbled 38% year to date through Wednesday, while the SPDR S&P Retail ETF had edged up 2.6% and the S&P 500 had climbed 20%.
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.