Shares of Vitamin Shoppe (NYSE: VSI) have gotten destroyed today, down by 35% as of 2:30 p.m. EDT, after the company reported disappointing second-quarter earnings.
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Revenue in the second quarter fell to $304.8 million, missing the consensus estimate of $314.7 million in sales. Non-GAAP earnings per share came in at $0.23, also well below the Street's forecast of $0.39. On a GAAP basis, the company lost $6.73 per share due to $168.1 million in impairment charges as well as a $13.7 million charge related to its Nutri-Force turnaround. There was also $3.4 million in costs "related to strategic initiatives."
Comparable-store sales fell 8.3%, largely driven by declines in the company's sports-related product categories.
In a statement, CEO Colin Watts said:
Guidance was also disappointing, as Vitamin Shoppe revised its sales outlook downward. Comps for full-year 2017 are now expected to be "negative mid-single digits," worse than its prior outlook provided in May of comps being "negative low to mid single digit."
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