Tuesday Morning Blues

DALLAS-Tuesday Morning Corp. surprised Wall Street early this week by revising downwards its earnings guidance for the company’s Q4. Earnings per share for the quarter are now expected to be flat at about $0.83, the same as they were in the final quarter of last year, which included a $0.06 charge for the early paying down of debt.

According to a Thompson First Call poll of analysts, the per share earnings of the company had been expected to come in at $1.05 per share. Earnings for all of 2004, according to the company, will be $1.44 per share, compared with an analysts’ average prediction of $1.67.

The company noted that the Christmas sales season thus far has been tough. “This season has provided a challenging environment for home furnishings-focused retailers,” says Kathleen Mason, Tuesday Morning president and CEO. “While business in some of our key decorative home categories, as well as in seasonal merchandise, hasn’t met expectations, we’re encouraged by sales of new receipts of non-seasonal merchandise.”