March 17 (Bloomberg) -- Tempur-Pedic International Inc., the maker of luxury mattresses of the same name, fell the most ever in New York trading after the company forecast profit below analysts' estimates as sales decline amid a slowing economy.
First-quarter earnings will be about half the 35 cents a share earned in the same period last year, Lexington, Kentucky- based Tempur-Pedic said today in a statement. Analysts predicted profit of 44 cents, according to the average of 13 estimates in a Bloomberg survey.
U.S. sales in the quarter have been ``significantly below'' the company's expectations as consumers limit spending, Tempur- Pedic said. Shoppers have trimmed purchases of home goods as they contend with falling home values, gasoline prices of $3 a gallon or more and record-high mortgage foreclosures.
``The U.S. mattress industry is experiencing an unprecedented slowdown,'' Chief Executive Officer Thomas Bryant said in the statement. Tempur-Pedic said investors shouldn't rely on its previous full-year forecast, which will be revised in April when first-quarter earnings are reported.
Tempur-Pedic plunged $5.38, or 32 percent, to $11.48 at 10:59 a.m. in New York Stock Exchange composite trading, the biggest drop since its initial share offering in December 2003.
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