Pier 1 (NYSE:PIR) reported its latest quarterly earnings results late today, bringing in a loss that was wider than the company’s loss from the same period a year ago, causing PIR stock to sink after the bell–a sharp decline in net sales during the three-month period didn’t help matters.
The Fort Worth, Texas-based home furnishings retailer announced that for its first quarter of its fiscal 2020, it brought in a net loss of $81.7 million, or $19.97 per share, which was nearly three times as wide as its loss from the year-ago quarter, which came in at $28.5 million, or $7.11 per share.
Pier 1 added that its revenue for the first three months of the new fiscal year came in at $314.3 million, marking a 15.5% slide when compared to the year-ago quarter. The company’s comparable sales experienced a slide of 13.5% due to lower average customer spending, which is a metric that is mostly connected with changes in the company’s merchandise mix, as well as a decline in store traffic.
The business had 967 stores in operation by the end of the first quarter, marking a slide of 30 when compared to the same period a year ago. For the first quarter, Pier 1’s gross margin fell to 25.1% from 32.3% in the year-ago quarter.
PIR stock is sinking 17.5% after hours Wednesday following the company’s quarterly earnings results. Shares had been gaining 1.4% during regular trading hours for the company.