Categories Earnings, LATEST, Retail

GNC beats Q2 earnings amidst store optimizations

GNC Holdings, Inc. (NYSE: GNC) on Monday reported second-quarter adjusted earnings of 13 cents per share, surpassing the Street consensus by a cent, as operating income margin increased 150 bps to 10.3%.

Revenue for the quarter, meanwhile, fell to $534.0 million, from $617.9 million a year ago, hurt by the transfer of the Nutra manufacturing and China businesses to the newly formed joint ventures, negative same-store sales and the closure of company-owned stores under our store portfolio optimization strategy. The top-line missed the average analysts’ estimate of $553.1 million.   

Domestic same-store sales decreased 4.6%.

Read: iRobot needs to regain investor confidence with Q2 results

However, the top-line beat sent the stock up 5% during pre-market trading on Monday. The shares have declined 25% since the beginning of this year.

GNC Ken Martindale said, “During the second quarter of 2019, although we experienced some softness in our sales, we delivered meaningful growth in our operating income margins consistent with our long-term strategy. The quarter represented solid progress towards our store optimization and cost savings initiatives.”

The health and wellness brand said revenues in the US and Canada segment decreased 8% to $476.1 million, while that in the International segment fell 18.9%, to $39.4 million.

Browse through our earnings calendar and get all scheduled earnings announcements, analyst/investor conference and much more!

Most Popular

WBA Earnings Preview: Will Walgreens’ Q3 report bring cheer to investors?

Walgreens Boots Alliance, Inc. (NASDAQ: WBA) has been facing challenges due to higher operating costs, rising competition, and an unfavorable retail environment. These factors have put pressure on the drugstore

Main points from Accenture’s (ACN) Q3 2024 earnings report

Shares of Accenture (NYSE: ACN) rose 6% on Thursday, following the company’s announcement of its third-quarter 2024 earnings results. Although revenue and profits missed expectations, the stock jumped after the

ACB Earnings: Aurora Cannabis reports narrower Q4 loss on higher revenues

Aurora Cannabis, Inc. (NASDAQ: ACB) on Thursday reported a net loss for the fourth quarter of 2024. The company’s revenues moved up 5% year-over-year during the quarter. The Canada-based recreational

Tags

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top