LONDON, UK / ACCESSWIRE / February 21, 2018 / Active-Investors.com has just released a free earnings report on 1-800-FLOWERS.COM, Inc. (NASDAQ: FLWS). If you want access to this report all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=FLWS. 1-800-FLOWERS.COM reported its second quarter fiscal 2018 operating and financial results on January 31, 2018. The flower and gift retailer met earnings estimates and provided guidance for fiscal 2018. Register today and get access to over 1,000 Free Research Reports by joining our site below:
Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, 1-800-FLOWERS.COM most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:
Earnings Highlights and Summary
For the second quarter fiscal 2018 ended December 31, 2017, 1-800-FLOWERS.COM's total net revenues were $526.1 million compared to total reported revenues of $554.6 million in Q2 FY17. On a comparable basis, the Company's total net revenues grew 2.4% on a y-o-y basis, driven primarily by 1-800-FLOWERS.COM's Gourmet Food and Gift Baskets segment combined with Consumer Floral segment's growth which more than offset lower revenues in the Company's BloomNet segment. 1-800-FLOWERS.COM's revenue numbers fell short of analysts' estimates of $527.3 million.
During Q2 FY18, 1-800-FLOWERS.COM's gross profit margin was 44.7% compared to reported gross profit margin of 46.3% in Q2 FY17, while comparable gross profit margin for the prior year's same period was 46.9%. The lower reported and comparable gross profit margin primarily reflected the impact of the operational issue at 1-800-FLOWERS.COM's Cheryl's Cookies brand, combined with increased transportation costs in the Gourmet Food and Gift Baskets segment and initiatives to take advantage of opportunities in the marketplace to extend the leadership for the 1-800-Flowers.com brand.
For Q2 FY18, 1-800-FLOWERS.COM's operating expenses as a percent of total revenues were 28.7% compared to reported operating expenses as a percent of total revenues of 28.9% in Q2 FY17. The Company recorded adjusted earnings before interest, tax, depreciation, and amortization (EBITDA) of $94.5 million in the reported quarter compared to reported adjusted EBITDA of $101.7 million in the prior year's same quarter.
1-800-FLOWERS.COM's net income was $70.70 million, or $1.06 per diluted share, in Q2 FY18 compared to $62.93 million, or $0.93 per diluted share, in Q2 FY17. On a comparable basis, net income was $58.5 million, or $0.88 per diluted share, unchanged compared the prior year's same period, and in-line with market estimates.
1-800-FLOWERS.COM's reported quarter earnings included a benefit of $0.24 per diluted share related to the impact of the "Tax Cuts and Jobs Act" legislation that was signed into law on December 22, 2017. This consisted of a discrete tax benefit of $0.18 per diluted share reflecting a revaluation of deferred tax liabilities and a benefit of $0.06 per diluted share, reflecting the Company's lower transitional federal tax rate of 28.0% in FY8.
1-800-FLOWERS.COM's Segment Results
During Q2 FY18, the Gourmet Foods and Gift Baskets segment's revenues were $406.0 million compared to reported revenues of $436.9 million in Q2 FY17. On a comparable basis, the segment's revenues grew 2.6% on a y-o-y basis for the reported quarter, primarily driven by Harry & David combined with solid growth in the Company's 1-800-Baskets.com consumer and wholesale channels.
For Q2 FY18, Gourmet Foods and Gift Baskets segment's gross profit margin was 45.4% compared to reported gross profit margin of 46.7% in Q2 FY17. On a comparable basis, gross profit margin declined 220 basis points, compared to 47.6% in the year ago same period, primarily reflecting the impact of the operational issue at Cheryl's Cookies as well as higher transportation costs associated with trucking and expedited shipping. The segment's contribution margin was $93.5 million in the reported quarter compared to reported segment contribution margin of $104.6 million in the prior year's corresponding period.
During Q2 FY18, the Consumer Floral segment's revenues grew 2.3% to $100.1 million compared to $97.8 million in Q2 FY17. The segment's gross profit margin was 38.8% in the reported quarter, down 240 basis points versus 41.2% in the prior year's comparable period. The segment's contribution margin was $10.8 million in Q2 FY18, compared with $13.1 million in Q2 FY17. The lower gross margin and lower segment contribution margin reflected initiatives to take advantage of opportunities the Company saw to extend its market leadership position.
For Q2 FY18, the BloomNet Wire Service segment's revenues were $20.4 million, essentially flat compared to $20.5 million in Q2 FY17. The segment's gross profit margin was 57.4% compared to 60.0% in the prior year's same period, reflecting product mix. As a result, the segment's contribution margin was $7.7 million in Q2 FY18, down 6.1% compared to $8.2 million in Q2 FY17.
For fiscal 2018, 1-800-FLOWERS.COM is forecasting consolidated comparable revenue in the range of $1.13 billion to $1.15 billion and earnings in the band of $0.62 to $0.64 per diluted share. The Company is expecting FY18 comparable adjusted EBITDA in a range of $82.0 to $85.0 million and free cash flow for the year in the band of $30.0 million to $40.0 million.
Stock Performance Snapshot
February 20, 2018 - At Tuesday's closing bell, 1-800-FLOWERS.COM's stock rose 3.18%, ending the trading session at $11.35.
Volume traded for the day: 416.25 thousand shares, which was above the 3-month average volume of 172.58 thousand shares.
Stock performance in the last three-month – up 20.11%; previous six-month period – up 28.98%; past twelve-month period – up 13.50%; and year-to-date – up 6.07%
After yesterday's close, 1-800-FLOWERS.COM's market cap was at $723.56 million.
Price to Earnings (P/E) ratio was at 20.05.
The stock is part of the Services sector, categorized under the Specialty Retail, Other industry.
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