Pacific Sunwear loss widens in fiscal 1st qtr as revenue declines

Pacific Sunwear fiscal 1Q loss widens

ANAHEIM, Calif. — Teen retailer Pacific Sunwear of California Inc. said Thursday that its fiscal first-quarter loss widened as revenue fell 15 percent.

For the quarter that ended May 1, Pacific Sunwear reported a loss of $31 million, or 47 cents per share. This compares with a loss of $8.7 million, or 13 cents per share, in the year-ago quarter. The year-ago results also included a $7 million income tax benefit.

When excluding a valuation allowance, the company reported a loss of 30 cents per share. Analysts surveyed by Thomson Reuters expected an adjusted loss of 36 cents per share.

Revenue dropped to $190.3 million from $223.5 million last year, beating analysts’ expectations for $185.8 million in revenue.

The company opened two stores and closed 13 during the quarter, leaving it with 883 stores total at the end of the three-month period. Pacific Sunwear had 927 stores open at the end of the year-ago quarter.

Pacific Sunwear predicted a loss of 35 cents to 45 cents per share, or 22 cents to 28 cents per share on an adjusted basis. Analysts have been predicting an adjusted loss of 17 cents per share.

Pacific Sunwear shares fell 4 cents to $4.45 in after-hours trading; the stock had fallen 36 cents, or 7.4 percent, to $4.49 in regular trading.