Francesca's results miss estimates on low traffic, shares fall
Sept 4 (Reuters) - Women's clothing retailer Francesca's Holdings Corp reported second-quarter results that missed analysts' estimates, hurt by lower traffic, and said it expects this weakness to continue.
Francesca's shares fell 18 percent to $19.72 in premarket trading.
The company forecast a profit of 19-21 cents per share for the third quarter.
Analysts on average were expecting a profit of 30 cents per share, according to Thomson Reuters I/B/E/S.
Francesca's also forecast current-quarter sales of $78 million-$80 million - below market estimates of $89.7 million - and said it expects comparable sales to decline by 2-5 percent.
Net income rose to $14.6 million, or 33 cents per share, in the quarter ended Aug. 3 from $12.7 million, or 28 cents per share, a year earlier. Net sales rose 17 percent to $89.6 million.
Analysts had expected a profit of 35 cents per share on revenue of $94.5 million.
Comparable sales in the second quarter declined 1 percent.
Francesca's shares were trading at $20.15 in premarket trading. They had closed at $24.02 on the Nasdaq on Tuesday.
(Reporting By Maria Ajit Thomas in Bangalore; Editing by Joyjeet Das)