Market Insider

La-Z-Boy shares plummet 15 pct after it reports same-store sales decline

Shares of La-Z-Boy plummeted 15 percent in extended trading on Tuesday after the company reported a same-store sales decline.

In the fiscal first quarter, La-Z-Boy saw same-store sales drop by 1.9 percent. During the comparable period last year, the company had comparable-sales growth of 5.3 percent.

CEO Kurt Darrow cited "weaker demand at wholesale and inconsistent traffic throughout the La-Z-Boy Furniture Galleries store system."

He said, however, that the company is in " an excellent service position for both our dealers and the consumer as we approach the traditionally stronger fall selling season."

La-Z-Boy also posted earnings that missed analysts' expectations on Tuesday. The company reported adjusted earnings of 28 cents a share on revenues of $341 million, below Wall Street projections of 29 cents a share on $359 million in revenue, according to Thomson Reuters.

The stock has been on a tear this year, climbing more than 27 percent.