On Dec. 14, home-furnishing retailer Pier 1 (NYSE:PIR) released its third-quarter earnings for the period ended Nov. 25.
- Sales continue to fall at this troubled retailer. Total sales for the quarter declined 11.8%, while same-store sales fell 12.9%.
- Fewer sales using more promotional techniques and markdowns dragged the gross margin down 5.7 percentage points. Yikes! At least inventory is coming down.
- Thirty-nine of 78 investors think Pier 1 will outperform the S&P 500 in our new community intelligence service, Motley Fool CAPS. What do you think? Sign up today and let your voice be heard.
(Figures in millions, except per-share data)
Income Statement Highlights
|
Q3 2007 |
Q3 2006 |
Change | |
|---|---|---|---|
|
Sales |
$402.7 |
$456.7 |
(11.8%) |
|
Net Loss* |
($72.7) |
($5.7) |
N/A |
|
EPS |
($0.83) |
($0.06) |
N/A |
|
Diluted Shares |
87.5 |
86.7 |
0.9% |
Get back to basics with a look at the income statement.
Margin Checkup
|
Q3 2007 |
Q3 2006 |
Change* | |
|---|---|---|---|
|
Gross Margin |
30.9% |
36.6% |
(5.7) |
|
Operating Margin |
(17.6%) |
(0.5%) |
(17.1) |
|
Net Margin |
(18.1%) |
(1.2%) |
(16.9) |
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
|
Assets |
Q3 2007 |
Q3 2006 |
Change |
|---|---|---|---|
|
Cash + ST Invest. |
$172.3 |
$80.9* |
113% |
|
Accounts Rec. |
$30.0 |
$29.4 |
2% |
|
Inventory |
$392.4 |
$438.8 |
(10.6%) |
|
Liabilities |
Q3 2007 |
Q3 2006 |
Change |
|---|---|---|---|
|
Accounts Payable |
$121.6 |
$99.8 |
21.8% |
|
Long-Term Debt |
$184.0 |
$19.0 |
868.4% |
Learn the ways of the balance sheet.
Cash Flow Highlights
|
YTD 2007 |
YTD 2006 |
Change | |
|---|---|---|---|
|
Cash From Ops. |
($84.4) |
($158.3) |
N/A |
|
Capital Expenditures |
($25.2) |
($40.2) |
N/A |
|
Free Cash Flow |
($109.6) |
($198.5) |
N/A |
Find out why Fools always follow the money.
Related Companies:
- Bed Bath & Beyond (NASDAQ:BBBY)
- Restoration Hardware (NASDAQ:RSTO)
- Williams-Sonoma (NYSE:WSM)
Related Foolishness:
- Peer No Further at Pier 1
- Pier 1 Needs to Import Success
- Long Walk, Short Pier 1?
- Fool on Call: Rebuilding Pier 1 After the Storm
Bed Bath & Beyond is both an Inside Value and a Stock Advisor selection.
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, David Meier did not own shares in any of the companies mentioned. Fool rules for disclosure are here.
