1-800-Flowers swings to a loss
by Laura Glasser
Published: August 20th, 2009
Carle Place-based 1-800-Flowers.com said on Thursday posted a loss in its fiscal fourth quarter on of a drop in consumer spending caused by the recession and losses from discontinued operations.
The florist and gift retailer reported a loss of $22.2 million, or 35 cents per share, for the quarter ended June 30, compared with income of $4.3 million, or 7 cents per share, in the same quarter last year.
During the quarter, the company discontinued its Home and children’s gifts business to cut costs and focus on its core floral, gourmet foods and gift baskets divisions. Without the results from the discontinued division, 1-800-Flowers would have lost $13.1 million during the quarter.
Fourth-quarter sales fell 8 percent to $172 million, down from $187 million in the same quarter last year.
1-800-Flowers also reported results for its fiscal year, posting a $98 million loss for 2009, compared with income of $21 million in fiscal 2008.
The company said it expects fiscal 2010 earnings to be flat to down 5 percent from 2009 because of continued weakness in consumer spending and the general economy.
“Looking ahead, we will continue to focus on our key strategic priorities, [which] will enable us to achieve strong bottom-line results, even in a challenging economic climate, and build long-term shareholder value,” said McCann.
by Laura Glasser
Published: August 20th, 2009
Carle Place-based 1-800-Flowers.com said on Thursday posted a loss in its fiscal fourth quarter on of a drop in consumer spending caused by the recession and losses from discontinued operations.
The florist and gift retailer reported a loss of $22.2 million, or 35 cents per share, for the quarter ended June 30, compared with income of $4.3 million, or 7 cents per share, in the same quarter last year.
During the quarter, the company discontinued its Home and children’s gifts business to cut costs and focus on its core floral, gourmet foods and gift baskets divisions. Without the results from the discontinued division, 1-800-Flowers would have lost $13.1 million during the quarter.
Fourth-quarter sales fell 8 percent to $172 million, down from $187 million in the same quarter last year.
1-800-Flowers also reported results for its fiscal year, posting a $98 million loss for 2009, compared with income of $21 million in fiscal 2008.
The company said it expects fiscal 2010 earnings to be flat to down 5 percent from 2009 because of continued weakness in consumer spending and the general economy.
“Looking ahead, we will continue to focus on our key strategic priorities, [which] will enable us to achieve strong bottom-line results, even in a challenging economic climate, and build long-term shareholder value,” said McCann.