Shares of Fossil are taking a beating after the company made a massive cut to its full-year sales guidance.
Fossil now expects revenue to fall as much as 8.5% in 2017 after previously forecasting that the measure would contract no more than 6%. Beyond guidance, the company reported a second-quarter adjusted loss of $US0.23 per share, beating the consensus estimate for a $US0.34 per share loss.
“Even as we operate in a market and retail environment experiencing unprecedented disruption, we believe we are focusing on actions that can deliver solid results and returns for our shareholders over time,” CEO Kosta Kartsotis said in a statement.
Owners of Fossil stock haven’t had a whole lot to cheer for in 2017, with shares down 57% year-to-date even before Tuesday’s after-market plunge.
Following the earnings news, shares of Fossil plummeted 21% to $US9.38 a share as of 4:58 pm ET.