Lands' End Clocks 9% Sales Decline In Q2; Cuts FY22 Outlook
Lands' End Inc (NASDAQ: LE) reported a second-quarter FY22 sales decline of 8.6% year-on-year to $351.2 million, beating the consensus of $343.3 million. Global eCommerce revenue decreased 16% Y/Y.
Net revenue in U.S. eCommerce fell 14.4%, and International eCommerce declined 23.9%, reflecting delayed receipts of key products due to global supply chain and macroeconomic challenges.
EPS loss of $(0.07) beat the consensus loss of $(0.14).
Gross margin contracted by 530 basis points to 41% due to higher transportation costs. Operating income declined 82.3% to $5.5 million.
Adjusted EBITDA decreased 61.8% Y/Y to $15.8 million.
The company held $23.5 million in cash and equivalents. Net cash used in operations for the six months was $(117.5) million.
Outlook: Lands' End sees Q3 sales of $375 million - $390 million, below the consensus of $398.4 million.
It expects EPS of $0.03 - $0.12, below the consensus of $0.26.
The company cut FY22 sales to $1.60 billion - $1.64 billion (prior view $1.62 billion - $1.68 billion) versus the consensus of $1.64 billion.
Lands' End sees EPS of $0.49 - $0.70 (prior view $0.60 - $0.88), below the consensus of $0.76.
Price Action: LE shares are trading lower by 10.78% at $12.33 on the last check Thursday.
See more from Benzinga
Hello Group Clocks 15% Revenue Decline In Q2 Due To Weak MAUs
Weibo Registers 22% Revenue Decline In Q2 On Weaker Ad, VAS Revenue Due To COVID-19 Resurgence
Tesla Motors (TSLA) – Now That Tesla Split Its Stock, Are You Buying It? Almost 60% Say...
Don't miss real-time alerts on your stocks - join Benzinga Pro for free! Try the tool that will help you invest smarter, faster, and better.
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.