Maximusnd
Hanesbrands (NYSE:HBI) shares plunged over 10% pre-market on Thursday after the company reported second quarter results that fell short of Wall Street's estimates and lowered guidance for full-year 2022.
The consumer goods firm generated adj earnings per share of $0.28 on revenues of $1.51B that dropped 14% versus prior year.
Speaking on the results, CEO Steve Bratspies said: "Our second quarter results fell below our expectations as a result of unexpected events and the difficult global operating environment."
The lower-than-expected sales performance was attributed to the previously announced ransomware attack that temporarily affected the firm's global supply chain network, and softer-than-expected point-of-sale trends.
The firm also felt some margin pressures, as adj. operating margin slipped approximately 335 basis points over prior year to 10.2%.
Hanesbrands (HBI) took a prudent view of its second-half net sales and profit outlook in wake of the current retail environment, changes in foreign currency exchange rates and slow consumer demand.
For Q3, it expects adj. EPS of $0.27-$0.32 vs. $0.47 consensus and revenue of $1.73-$1.78B vs. $1.81B consensus. Full year 2022 adj. EPS is now seen at $1.11-$1.23 (prior outlook: $1.64 to $1.81) vs. $1.54 consensus and revenue of $6.45B-$6.55B (prior outlook: $7B to $7.15B) vs. $6.87B consensus.