Talbots Being Hit Hard On Weak Outlook (TLB)

Shares of Talbots, Inc.

are being hit hard today, as the women's clothing retailer offered a weaker than expected outlook. Talbots reported earnings of 1 cent a share, including items for its latest quarter. Ex-items, it reported 14 cents per share. Revenues dropped to $300.7 million from $304.6 million last year. Talbots beat on the bottom line, as analysts had expected earnings of 5 cents per share, but on revenues of $313.9 million. The company raised its EPS guidance, saying it now sees earnings per share to come in at 84-92 cents per share, excluding one-time items. The company had previously forecast 75-83 cents per share. Analysts are looking for earnings of 83 cents per share. Talbots now expects yearly revenue to rise in the low single digits. The company had previously expected revenue to rise 3-5%. The company also cut its earnings outlook for the third quarter, saying it now sees earnings of 22-28 cents per share. Analysts expect net income of 30 cents per share. Shares of Talbots are now down 92 cents, to $10.21, a loss of 8.2%