Green Mountain shares fall on weak sales outlook
By Martinne Geller and Juhi Arora
Feb 6 (Reuters) Green Canada Goose Online Mountain Coffee Roasters Inc forecast sales growth for the current quarter that is slightly lower than analysts expected as retailers canada goose clearance work through unsold inventory of its products after a homesite https://www.cagooseclearance.com Canada Goose Clearance slower than expected holiday season.
The maker of the Keurig single cup coffee brewer and K Cups that go with it also reported first quarter earnings that were 11 cents per share better than analysts expected. It raised its full year outlook, but only by 8 cents per share in a sign of weakening expectations for later quarters.
That helped send shares down 7 percent in after hours trade, according canada goose coats to Marc Riddick, cheap Canada Goose an analyst with canadian goose jacket The uk canada goose Williams Capital Group. Riddick said such a move was not unusual for this stock, which has been volatile since it became the target of short sellers including Green Light Capital David Einhorn.
Riddick also said the change in outlook should not be that alarming since the company has a brand new CEO, Brian Kelley, who just canada goose uk black friday joined from Coca Cola Co. Kelley, whose favorite Green Mountain Coffee flavor is Blend, also worked at General Electric Co. That gives him both beverage and appliance expertise, things he need at Green Mountain.
existing guidance wasn his. He been there canada goose coats on sale 60 days. This doesn concern me, uk canada goose outlet Riddick said.
Green Mountain said it expected sales to grow by 14 percent to Canada Goose online 18 percent in the fiscal second quarter and 15 percent to 20 percent for the full year.
According canada goose store to a Reuters canada goose factory sale calculation, Green Mountain second quarter sales goal translates to a range of $1.01 billion to $1.04 Canada Goose Jackets billion, which would miss analyst expectations of $1.06 billion, according to Thomson Reuters I/B/E/S.
For the full fiscal year, the company raised its earnings forecast to a range of canada goose uk shop $2.72 to $2.82 per share, from a prior range of $2.64 to $2.74 per share. The forecast includes the impact of share Canada Goose sale buybacks made through the end of January.
The company said on a conference call with analysts that during the fiscal first quarter, it shipped more brewers to retailers canada goose clearance sale than the retailers were able to sell, due to a softer than anticipated holiday season.
That left retailers with unsold inventory and now Green Mountain said brewer shipments will decline slightly year over year in the current quarter. However retail sales should continue growing, canada goose black friday sale it said, which will help sales of its buy canada goose jacket K cheap canada goose uk Cups.
Waterbury, Vermont based Green Mountain K Cups have lost some market share to lower cost rivals buy canada goose jacket cheap in 2012 after some patents expired. Founder and Chairman Robert Stiller was also demoted Canada Goose Outlet after Canada Goose Parka a margin call forced him to sell stock canada goose uk outlet when it was prohibited.
The company recently launched the Rivo espresso machine to rival the Verismo machine by Starbucks.
In the just ended first quarter, profit rose to $107.6 million, or 70 cents per canada goose share, from $104.4 million, or 66 cents per share, a year earlier. On an adjusted basis, the company earned 76 cents per share. Sales rose 15.6 percent to $1.34 billion.
Analysts on average had expected the company to earn 65 cents per share, on revenue of $1.33 billion.
Shares of Green Mountain were down 7 percent at $45.50 after closing at $48.94 on the Nasdaq on Canada Goose Coats On Sale Wednesday. (Reporting by Martinne Geller in New York, Arpita Mukherjee and Chris Peters in Bangalore; Editing by Maju Samuel and Andrew Hay).