FTD Companies Inc (FTD) Stock Nosedives on Stinky Earnings

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FTD Companies Inc (NASDAQ:FTD) shares were plummeting as the company unveiled its latest financial report on Wednesday.

FTD Companies

For its fourth quarter of fiscal 2016, the floral wire service and retailer posted a loss of $86.4 million, which was wider than the $82.6 million earnings loss it posted over the course of the same period in 2015. Goodwill impairment charges played a role in disappointing earnings for the company.

Adjusted EBITDA for FTD Companies was $29.8 million, which amounts to 10.6% of consolidated revenues for the period. In the fourth quarter of 2015, this figure was $31.3 million, or 10.5% of consolidated revenues.

Revenue failed to hit the target as the floral services provider posted $280.7 million in net sales, coming in below analysts’ expectations of $282.3 million. For the fiscal year 2016, FTD Companies unveiled consolidated revenues of $1.12 billion, below the $1.22 billion from the previous fiscal year.

Changes in the Provide Commerce and Consumer segments played a role in lowering this figure. The net loss for the year was $83.2 million, which was better than the $80.1 million from the previous year.

Consumer segment revenue for the fourth quarter of 2016 fell 7.5% to $70.5 million, which was narrower than the $76.3 million loss in the previous year’s fourth quarter.

For its fiscal year 2017, FTD Companies expects capital expenditures to be about $28.0 million, while revenue is expected to be $1.13 billion, according to Wall Street.

FTD stock fell 20.4% Wednesday.


Article printed from InvestorPlace Media, https://investorplace.com/2017/03/ftd-companies-inc-ftd/.

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