Proactive Investors - La-Z-Boy (NYSE:LZB) Incorporated stock fell in extended trading Tuesday despite the furniture maker beating fiscal first-quarter expectations.
The company posted adjusted earnings of $0.62 per share on revenue of $482 million, compared to Street expectations of $0.55 per share on revenue of $474.58 million. Revenue was 20% lower year-over-year due to deliveries of pandemic-related backlog during the year-ago period.
La-Z-Boy shares sank 1.3% lower after hours to $29.40 after falling 2.3% during the Tuesday session.
Looking ahead, the company issued second-quarter sales guidance of $490 to $510 million and operating margin of 6.5% to 7.5%
“We expect consumer trends to remain soft and sales trends remain challenged against last year, which benefited from an elevated pandemic backlog,” CFO Bob Lucian said in a statement. “Considering these trends, and historical seasonality, we expect sales in the second quarter of fiscal 2024 to be slightly higher than the first quarter. Further, we expect Q2 operating margin to be similar to the first quarter, as we increase marketing investment in support of our new ‘Long Live the Lazy’ campaign, which started in August.”