- Michaels (NASDAQ:MIK) cuts full-year EPS guidance to a range of $1.86 to $1.90 vs. $1.92 to $1.98 prior and $1.95 consensus.
- The retailer expects Q4 EPS of $0.94 to $0.98 vs. $0.99 consensus.
- During Q3, gross margin fell to 38% of sales to miss the estimate of analyst. A higher mix of promotions was a factor. SG&A expenses came in at 26.1% of sales. Operating income fell 140 bps Y/Y to 11.9%.
- "We are disappointed our plans did not result in expected comp and earnings growth, and we have taken steps to position the fourth quarter for better performance," says CEO Chuck Rubin.
- Previously: The Michaels Companies misses by $0.03, misses on revenue (Dec. 6)
- MIK -6.42% premarket to $22.75.