Finish Line Inc. (NASDAQ: FINL) reported third-quarter fiscal 2013 results before markets opened this morning. The athletic shoe and apparel retailer reported diluted earnings per share (EPS) at breakeven on revenues of $296.6 million. In the same period a year ago, Finish Line reported EPS of $0.11 on revenue of $282 million. Today’s results also compare to the consensus estimates for EPS of $0.11 and $296.1 million in revenue.
The company’s CEO said:
The third quarter was clearly more challenging than we anticipated. Sales came in below plan due primarily to a shift within athletic footwear trends and a less than favorable consumer response to the new ecommerce site we launched in mid November. Our top-line performance forced us to get more promotional to improve the composition of our inventory ahead of the important Holiday season. At the same time, we did not adjust our cost structure quickly enough in response to slowing sales trends.
Finish Line guided EPS at $0.74 to $0.78 for the fourth quarter, well below the consensus estimate of $0.82. For the full fiscal year ending on March 2, the company forecast EPS of $1.47 to $1.51, again, well below the current consensus estimate of $1.64.
Shares are down about 5% in premarket trading this morning, at $18.04 in a 52-week range of $17.41 to $26.16. Thomson Reuters had a consensus analyst price target of around $24.25 before today’s results were announced.