Shares of The Men's Wearhouse, Inc.(NYSE:MW) slumped 16% after the company late Wednesday reported a lower than estimated first quarter earnings, prompted the company to lower its guidance for the second quarter. The company posted net income of $26.9 million, or 52 cents per share, shy of analysts’ estimates by 3 cents. Revenue during the quarter jumped 1.10% year over year to $586.6 million, missing analysts’ estimates of $593.9 million. Men's Warehouse in March had projected earnings of 53 cents to 54 cents a share and sales growth of 2% to 2.5%.
For the current quarter, the company projects to earn $1.12 to $1.13 per share, well below analysts’ target of $1.22 a share. Sales are expected to grow by 0.75% to 1.25%, while analysts are estimating a 3% growth.
SeaChange International(NASDAQ:SEAC) also slid over 5% as the company reported lower than projected first quarter profit and revenue. The company earned $1.8 million or $0.06 a share, flat from a year ago profit of $2.0 million or $0.06 per share. Analysts were estimating 8 cents a share. Revenue during the quarter came in at $36.6 million, down from a year ago revenue of $40.2 million. Analysts were targeting $44.50 million.
For the second quarter, the company projects to generate revenue of $35 million to $37 million and for the year, revenue is estimated at $150 million to $160 million. The company also maintained its full year non-GAAP operating income guidance to be in the range of $17 million to $20 million.
Best Buy Co., Inc.(NYSE:BBY) slumped 7.25% as the company’s Chairman and a director, Richard Schulze decided to resign from the company effective immediately, in order to explore all available options for his ownership stake. Mr. Schulze, 71, served as Best Buy’s CEO, Chairman and a director for 36 years until 2002. He has continued as Chairman and a director since 2002 and controls approximately 20.1% of Best Buy shares. He had previously planned to step down as Chairman after the 2012 annual meeting on June 21, 2012 and to remain as a director through the 2013 annual meeting.
Lululemon Athletica inc.(NASDAQ:LULU) slumped over 8% as the company’s guidance for the current quarter fell short of analysts’ projections. The company expects to earn 28 cents to 30 cents per share on revenue of $273 million to $278 million in the second quarter, missing analysts’ estimates of 33 cents per share on revenue of $289.2 million. For the full year, the company expects to earn $1.55 to $1.60 on revenue of $1.32 billion to $1.34 billion, shy of analysts’ target of $1.63 per share on revenue of $1.35 billion.
In the first quarter, the company earned $46.6 million, or 32 cents per share, up from a year ago profit of $33.4 million, or 23 cents per share, a year ago, and topping analysts’ estimates by 2 cents. Quarterly revenue surged 53% to $285.7 million from $186.8 million, ahead of analysts’ target of $274 million.