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Pep Boys Profits Decline

|Includes: Pep Boys Manny Moe & Jack (PBY)

Originally published at www.seclive.com

Filing in Focus: Pep Boys 8-K, June 9, 2014

Pep Boys - Manny, Moe & Jack (NYSE:PBY) announced its financial results for the first quarter of fiscal year 2014, posting a decline in profit from a year ago. The auto parts retailer posted a slight increase in revenue, up 0.5% from $536.2M to $538.8M, falling short of analyst predictions at $542.1M, with comparable-store sales falling 1.4%. Impacted by litigation costs and impairment charges, earnings dropped from $3.9M and $0.07 per share to $1.6M and $0.03 per share, missing analyst expectations of $0.06 per share. Litigation cost the company $4.0M while the asset impairment charge was $1.2M. President and CEO Mike Odell remarked that the company's operating profit rose substantially thanks to the company's higher margins and that company performance is expected to continue improving throughout the year.

Disclosure: The author has no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.