Hhgregg, Inc. Provides Sales Guidance for the Third Quarter Ended December 31, 2016; Provides Asset Impairment Guidance for the Third Quarter Ended December 31, 2016
January 10, 2017 at 03:30 am IST
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hhgregg, Inc. provided sales guidance for the third quarter ended December 31, 2016. For the third fiscal quarter of 2017, the company estimates net sales to be approximately $453 million, a decrease of approximately 24% as compared to net sales of $593 million reported for the third fiscal quarter of 2016. Third fiscal quarter comparable store sales are estimated to have decreased approximately 22%, with the appliance category estimated to have decreased approximately 4%, the consumer electronics category estimated to have decreased approximately 39%, the home products category estimated to have decreased approximately 9%.
The company expects to incur a non-cash charge for asset impairment of certain locations in the quarter ended December 31, 2016. The company expects the impact of this non-cash pre-tax charge to be in the range of $7 million to $12 million and is currently finalizing that determination. The impairment charge is based on current trends in certain under-performing markets and the lack of visibility to the recoverability of the assets associated with those locations.
hhgregg, Inc. is an online retailer that operates a retail chain of consumer electronics and home appliances in the Midwest, Northeast, and Southeast United States, which operates stores in approximately 20 states. The Company offers a range of products categories, which include mobiles, computers and office, cameras and video, electronics, pro audio, home and kitchen. Its mobile products include cellphones and accessories, and wearable technology. Its computer products include desktops, laptops, hardware, telephones, and office accessories. The Companyâs electronics products include global positioning systems (GPS) and auto, television, home theater, audio headphones, and gaming. Its pro audio products include microphones, pro headphones, studio recording, audio systems, speakers, audio components, portable audio, and musical instruments. Its home and kitchen products include kitchen utensils, luggage, and bags. It offers global and local brands across the nation through hhgregg.com.
Hhgregg, Inc. Provides Sales Guidance for the Third Quarter Ended December 31, 2016; Provides Asset Impairment Guidance for the Third Quarter Ended December 31, 2016