What’s that smell?
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Looks like Justin Bieber isn’t as marketable as previously thought. Oddly enough neither is Taylor Swift. And Nicki Minaj and…Celebrity fragrances put a major crimp in sales at Elizabeth Arden causing its shares to drop 24% on news of its stinky earnings. In fact, the company hasn’t seen earnings this bad since August of 2010. Hmmm. How old was the Beebs then? The drop in sales for celebrity fragrances was even bigger than expected. While the company pulled in $191.7 million in sales, expectations were over $241 million. That’s a big stininking gap, alright. Shares of Elizabeth Arden dropped $1.04 per share which was almost three times the loss that was predicted. That’s on top of the fact that shares already dropped 58% this year. Yikes. But the comapny has plans this year to focus on stabilizing its business – which I can only assume means less Justin Bieber.
Earnings beat…
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On the heels of yesterday’s good news about the improving housing sector, Home Depot came out with earnings today that easily beat analysts’ expectations. The nations largest home improvement company pulled in $23.8 billion in second quarter revenue, an almost 6% increase from this time last year. Wall Street expected a mere $23.5 billion. The company also pulled in net income of $2.1 billion, gaining $1.52 a share, and coming in $.08 above expectations. By George, that’s more than a 22% increase over the same time last year. While some feel that Home Depot’s earning’s success is tied to improvements in the housing market, others feel Home Depot would have gone up no matter what. So there.
Fly away birdie…
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Dick’s Sporting Goods announced its earnings with some mixed results. The company pulled in $1.7 billion in second quarter revenue, which happens to be a 10% increase over the same time last year. The company also scored a $69.5 million profit. Sounds pretty good, right? Unfortunately that figure was more than 17% less than the same time last year. However, the sporting goods chain did gain $.67 per share, instead of the predicted $.65 per share. So where is all this money coming from anyways? Well it’s not coming from golf. And hunting. But definitely not golf. It is coming from women’s and youth apparel. The company consolidated its golf division which also includes its Golf Galaxy chain, and yeah, some people were given their walking papers with this “restructuring.” But at least it will free them up a little to play some profit-sucking golf while pondering their next career move.
Pujonomics. 