Green Mountain Coffee Roasters Plunges on Q2 Results, Guidance Cut

Green Mountain Coffee Roasters GMCR released its fiscal second-quarter earnings results after the closing bell on Wednesday. The company reported net income attributable to the company of $93.0 million or $0.58 per share, compared to $65.5 million or $0.44 per share, in the year ago period. On an adjusted basis, which is comparable to analysts' estimates, Green Mountain reported net income of $101.7 million or $0.64 per share, versus $71. 5 million or $0.48 per share, last year. This was in-line with Wall Street analysts' consensus EPS estimates of $0.64. Revenues for the quarter were up 37 percent to $885.1 million from $647.7 million in last year's corresponding quarter. This missed analysts' consensus revenue estimates of $971.65 million by a wide margin. Looking ahead, Green Mountain said that it expects third-quarter non-GAAP earnings per share of $0.48 to $0.53 on revenues of $861 million to $897 million. Currently, analysts have consensus EPS estimates of $0.72 on revenues of $1.05 billion for the second quarter. For fiscal 2012, the company now sees non-GAAP earnings per share of $2.40 to $2.50 and revenues of $3.8 billion to $4 billion, representing growth of 45% to 50%. This compares to previous guidance of non-GAAP EPS between $2.55 and $2.65 and net sales growth of 60% to 65%. In Wednesday's after hours trading session GMCR shares have plunged around 42% to $28.73. This is a new 52-week low in the stock. Previously, GMCR had traded in a range between $34.06 - $115.98 over the last year.