Selloff or Market Correction? Either Way, Here's What to Do NextSee Overvalued Stocks

Oxford Industries stock falls 5% after cutting outlook as sales decline

EditorRachael Rajan
Published 11/12/2024, 21:24
OXM
-

ATLANTA - Oxford Industries (NYSE:OXM) reported disappointing third quarter results Wednesdat and lowered its full-year guidance, sending shares down 5.7% in after-hours trading.

The apparel company posted an adjusted loss of $0.11 per share for Q3, missing analyst estimates of $0.11 profit. Revenue fell 5.7% year-over-year to $308 million, below expectations of $317.8 million.

Oxford Industries CEO Tom Chubb (NYSE:CB) cited a "difficult third quarter" due to cautious consumer spending and impacts from hurricanes in the Southeast. He noted the company's key markets were affected by "two major hurricanes in quick succession that resulted in estimated lost sales of $4 million."

Looking ahead, the company cut its fiscal 2024 outlook, now expecting earnings per share of $6.50-$6.70 on revenue of $1.50-$1.52 billion. This is down from previous guidance and below analyst consensus.

For Q4, Oxford Industries forecasts EPS of $1.18-$1.38 on revenue of $375-$395 million, also below expectations.

"Due to the weaker than expected consumer environment before the election and the fourth quarter impact of the hurricanes, which we project will include an additional $3 million of lost revenue and $0.11 per share, we have lowered our fiscal 2024 sales and EPS guidance," Chubb explained.

Despite near-term headwinds, management expressed confidence in the company's long-term growth prospects. Oxford Industries operates brands including Tommy Bahama, Lilly Pulitzer and Johnny Was.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.