The big local names in surf-inspired clothes took different paths on Wall Street Friday a day after reporting quarterly results.
Shares of Huntington Beach-based Quiksilver Inc., the largest maker of clothes inspired by surfing, skateboarding and snowboarding, were up more than 20% in midday New York trading to a market value of $490 million.
At the same time, shares of Anaheim-based Pacific Sunwear of California Inc., the largest retailer of surf-inspired clothes, were down 15% to a market value of $325 million.
Both companies reported generally solid results for their recently ended quarters on Thursday.
But investors seized on their outlooks—disappointing in the case of Pacific Sun, and in line for Quiksilver.
For the three months through April, Quiksilver said it projects a profit per share in the low single digits.
Analysts on average expect a profit of 3 cents a share, or $3.8 million.
The company said it sees sales “down in the high single digits” from a year earlier, when it had sales of $494 million.
Analysts on average expect sales of $465 million, down 6% from a year earlier.
For the three months through January, Quiksilver posted an adjusted loss of $2.5 million, versus a loss of $9 million a year earlier.
Wall Street analysts were expecting a much larger loss of $16.5 million.
Revenue was down 2% to $433 million but ahead of the $413 million analysts were looking for.
Pacific Sunwear, which runs 894 mall stores, surprised Wall Street on Thursday with a warning of a big loss for the current quarter.
The company projected a loss of $20.8 million to $24.7 million for the three months through April.
At the high end, that’s nearly triple the $9.1 million loss analysts had been expecting on average.
The forecast came on the heels of the company’s results for the three months through January.
Pacific Sunwear reported an adjusted loss of $17 million, narrowed from a loss of $27 million a year earlier.
That was better than the $19 million loss expected by analysts.
Sales came in at $293 million, down 17% from a year earlier and ahead of the $277.4 million expected by analysts.
