Shares of Sleep Number (NASDAQ: SNBR) dropped in after-hours trading on Wednesday as the bedding accessories and mattress company revised its FY22 outlook.
Don't Miss our Black Friday Offers:
- Unlock your investing potential with TipRanks Premium - Now At 40% OFF!
- Make smarter investments with weekly expert stock picks from the Smart Investor Newsletter
The company now expects FY22 earnings to range between $1.50 and $2 per diluted share assuming flat year-over-year sales in Q4 versus analysts’ forecasts of $3.3 per share. SNBR had earlier projected earnings in the range of $3 to $4 per share. This revised outlook is “driven by insufficient and uneven flow of chip supply and softer demand.”
Sales of the company fell 16% year-over-year to $541 million, after “softer-than-expected consumer demand.” However, SNBR’s sales still came in ahead of analysts’ expectations of $529.4 million. Earnings per diluted share were $0.22, surpassing consensus estimates of $0.06.
