Stanley Furniture Earnings: Here’s Why Shares are Down Now

Stanley Furniture Co. Inc. (NASDAQ:STLY) had a loss and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 0.5%.

Stanley Furniture Co. Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased to $-0.24 in the quarter versus EPS of $-0.10 in the year-earlier quarter.

Revenue: Decreased 0.94% to $24.2 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Stanley Furniture Co. Inc. reported adjusted EPS loss of $0.24 per share. By that measure, the company missed the mean analyst estimate of $-0.12. It missed the average revenue estimate of $24.81 million.

Quoting Management: “The most recent quarter represented a significant milestone for our company’s multi-year journey to reposition itself for growth,” commented Glenn Prillaman, President and Chief Executive Officer. “As we begin the second half of the year, we have now either completed or are simply refining the multiple initiatives that we believe have been necessary for long-term growth but very disruptive to our customers and management team over the last few years. With these distractions behind us, we are now completely focused on the execution of our operating models which should make us one of the most customer-friendly companies within our segment of the marketplace,” continued Prillaman. “Specifically, our accomplishments in the quarter included the successful relocation of our corporate office, the opening of our new High Point showroom to wonderful reviews and a well-attended April Furniture Market and the introduction of our new staff to customers.”

Key Stats (on next page)…

Revenue decreased 7.1% from $26.05 million in the previous quarter. EPS decreased to $-0.24 in the quarter versus EPS of $-0.13 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a loss of $0.09 to a loss $0.12. For the current year, the average estimate has moved down from a loss of $0.40 to a loss of $0.49 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)

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