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Pier 1 Imports results: Loss of 7 cents a share vs. expected loss of 5 cents

A pedestrian walks past a Pier 1 Imports Inc. store in New York.
Craig Varga | Bloomberg | Getty Images
A pedestrian walks past a Pier 1 Imports Inc. store in New York.

Pier 1 Imports reported a wider-than-expected loss on Wednesday, pushing shares sharply lower in after-hours trading.

The home furnishing and decor retailer posted a loss of 7 cents per share on revenue of $418.4 million.

Shares of Pier 1 tumbled nearly 6 percent in extended-hours trading. The stock closed up more than 4 percent in the regular trading session Wednesday.

Analysts expected a fiscal first-quarter loss of 5 cents per share on sales of $420 million, according to a consensus estimate from Thomson Reuters.

"Our first quarter sales were not as strong as we would have liked. Although many of our merchandise categories performed satisfactorily, outdoor furniture was affected by internal and external pressures, including competitive pricing. At the same time, the headwind of a challenging store traffic environment remains," said President and CEO Alex Smith.

Looking forward to its second quarter, Pier 1 expects results between a loss of 6 cents per share and breaking even. Wall street expects the company to break even in the quarter.

"Our profitability in the first half of the year is largely being impacted by planned investments in marketing, a competitive promotional environment and the costs related to prior distribution center network inefficiencies," said EVP and Chief Financial Officer Jeffrey Boyer said.

Pier 1 shares have climbed more than 6 percent this year.