Express Stock Drops 14% After First-quarter Profit, Revenue Misses; Disappointing 2017 Guidance

Express Inc. shares dropped 13.8% in premarket trade Thursday after the company reported first-quarter profit and revenue misses. The company said it had a loss of $4.5 million, or a loss of 6 cents per share, after earnings of $12.9 million, or 16 cents per share in the year-earlier period. The FactSet adjusted earnings per share consensus was a loss of 2 cents. Revenue declined to $467.0 million from $502.9 million, compared with the FactSet consensus of 467.7 million. "We are pleased with the recent trends in our business and believe that our initiatives are gaining traction in a challenging retail environment," said David Kornberg, the company's president and chief executive officer. The company said it expects adjusted EPS of 41 cents to 48 cents for full year 2017, compared with a the FactSet consensus of 66 cents. Express shares have dropped 28.4% over the last three months, compared with a 0.7% rise in the S&P 500 .