Huffy Corporation announced last week that sales and earnings for August were below anticipated levels and the company does not see any indications of a reversal of the damage done early in the quarter. HUF fell 16% for the week, closing at $6.04 on Friday.
Based on slower-than-expected activity in the latter part of the quarter, EPS from continuing operations are now seen in the range of 14 cents to 16 cents on sales of $113.0 million to $118.0 million. Full year EPS are now forecast at 44 cents to 52 cents on sales in the $455.0 million to $460.0 million range.
The company had earlier issued guidance that full year EPS would come in at 55 cents to 65 cents on sales between $470.0 million to $480.0 million based on early positive indications for Q3. But sales in “August and in early September” were both “disappointing and softer than anticipated”, particularly in the in-line skate, action sports, backboard and opportunity businesses.