Men's Wearhouse's is struggling as it tries to figure out the best strategy for its business since buying rival Jos. A. Bank.
The men's clothing retailer reported Wednesday that sales at Jos. A Bank locations open at least a year tumbled 14.6 percent in the third quarter as fewer customers visited those shops. This metric is a key gauge of a retailer's health because it excludes results from locations recently opened or closed.
It shares dropped almost 25 percent in morning trading Thursday.
For the quarter to date, which includes part of the critical holiday shopping season, Jos. A. Bank same-store sales were down 35.1 percent while the company's other brands average same-store sales were up 5.5 percent. Men's Wearhouse Inc. said that if Jos. A. Bank continues to have troubles for the rest of the quarter the company will be at risk of missing the lower end of its full-year outlook.