Aaron’s Co., an Atlanta-based lease-to-own retailer, announced its financial results for the third quarter. The company’s loss has significantly narrowed as a result of lower sales.
- The loss for the quarter was $4.1 million, or 13 cents per share, compared to $15.6 million, or 51 cents per share, in the same period last year.
- Analysts had expected a profit of two cents per share, according to FactSet.
- Adjusted earnings per share, excluding certain one-time items, were one cent, falling below the forecast of seven cents by analysts.
Decline in Revenue
- Revenue for the quarter dropped by 11% to $525.7 million, missing analysts’ expectations of $536.1 million.
- Lower lease revenue and fees, along with weaker sales at the Aaron’s business and BrandsMart, contributed to the decline in sales.
- The company’s loss included a restructuring charge of $2.7 million.
- However, the loss was mitigated by lower operating expenses, resulting in the narrowed loss.