UPDATE: Vista Outdoor stock slides 18%, after quarterly sales fall short of estimates
Vista Outdoor Inc. , which makes products for outdoor activities including shooting, saw its shares slide 18% Thursday, after it missed quarterly sales estimates and said it is still struggling with weak ammunition sales. The company said Thursday it had a net loss of $514.6 million, or $8.94 a share, in its fiscal third quarter to December 30, after earnings of $53.7 million, or 94 cents a share, in the year-earlier period. The loss was due to an impairment charge of $433 million to write down goodwill and an impairment charge of $84 million related to an expected loss on held-for-sale assets. Adjusted per-share earnings came to 9 cents, ahead of the 6 cents FactSet consensus. Sales fell 20% to $468 million, well below the $505 million FactSet consensus. "While we continue to face market pressures, specifically in our ammunition business, we are driving out cost and improving profitability across the portfolio," chief Executive Chris Metz said in a statement. The company lowered its fiscal 2019 sales outlook to a range of $2.00 billion to $2.05 billion from a previous range of $2.10 billion to $2.16 billion. It expects adjusted EPS of 20 cents to 35 cents. The FactSet consensus is for EPS of 28 cents and revenue of $2.10 billion. Shares have fallen 42% in the last 12 months, while the S&P 500 has gained about 2%. Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.