On Aug. 28, Tuesday Morning
- Total sales increased 5.6% to $219.4 million, but same-store sales inched up 0.1% as a decline in traffic countered a gain in its average ticket.
- Despite the increased revenue, higher expenses led to a nearly 30% drop in profit to $2 million, or $0.05 per share.
- The company expects to earn $0.85 to $0.90 per share in its fiscal year on comps that are flat to 1.5% higher.
- Tuesday Morning is hardly a fan favorite, earning a two-star rating (out of a possible five) in Motley Fool CAPS. Think the tough economy will lead to brighter days for discounters like Tuesday Morning, or will consumers hide? Share your thought with the rest of the CAPS community.
(Figures in millions, except per-share data.)
Income Statement Highlights
|
Q2 2007 |
Q2 2006 |
Change |
|
|---|---|---|---|
|
Sales |
$219.4 |
$207.7 |
5.6% |
|
Net Profit |
$2.0 |
$2.9 |
(29.8%) |
|
EPS |
$0.05 |
$0.07 |
(28.6%) |
|
Diluted Shares |
41.6 |
41.6 |
0.0% |
Get back to basics with the income statement.
Margin Checkup
|
Q2 2007 |
Q2 2006 |
Change* |
|
|---|---|---|---|
|
Gross Margin |
36.4% |
35.8% |
0.6 |
|
Operating Margin |
1.9% |
2.4% |
(0.5) |
|
Net Margin |
0.9% |
1.4% |
(0.5) |
*Expressed in percentage points
Margins are the earnings engine.
Balance Sheet Highlights
|
Assets |
Q2 2007 |
Q2 2006 |
Change |
|---|---|---|---|
|
Cash + ST Invest. |
$10.3 |
$5.8 |
78.7% |
|
Inventory |
$288.8 |
$241.7 |
19.5% |
|
Liabilities |
Q2 2007 |
Q2 2006 |
Change |
|---|---|---|---|
|
Accounts Payable |
$82.5 |
$72.3 |
14.0% |
The balance sheet reflects the company's health.
Cash Flow Highlights
|
YTD 2007 |
YTD 2006 |
Change |
|
|---|---|---|---|
|
Cash from Ops |
($55.8) |
($18.5) |
N/A |
|
Capital Expenditures |
$6.7 |
$7.2 |
(7.4%) |
|
Free Cash Flow |
($62.4) |
($25.7) |
N/A |
Free cash flow is a Fool's best friend.
Related Foolishness:
Tuesday Morning is a Motley Fool Income Investor recommendation. Want to get paid to invest? Analyst James Early and other investors like you can show you how with a free trial to the newsletter service.
Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean.
At the time of publication, Fool contributor Mike Cianciolo held no position in Tuesday Morning.
