Guess Inc (NYSE:GES) shares plunged 15% to $20.15 in Wednesday’s premarket deals, after the apparel company missed Street expectations with its third-quarter results.
The Switzerland-based designer jeans brand posted adjusted earnings of $0.49 per share on revenue of $651.2 million, missing expectations of $0.62 per share on revenue of $656.2 million.
Europe revenue grew 6% year over year, while Americas retail revenues fell 7% and Asia revenue grew 2%.
Looking ahead, Guess guided for fourth-quarter earnings of $1.53 to $1.60 per share and full-year earnings of $2.67 to $2.74 per share.
“We are confident in our plans for the holiday season and have a strong inventory position to respond well to customer demand,” CEO Carlos Alberini said in a statement.
“We are navigating through an uncertain shopping environment in many parts of the world impacted by geopolitical issues and lower consumer confidence. Based on these factors and our recent sales trends, we are taking a more cautious view for our fourth quarter outlook and now expect to deliver net revenue growth of 2% and an operating margin of roughly 9% for the fiscal year.”