Shares of Lumber Liquidators Holdings Inc. [: ll] surged 7.3% in premarket trading Thursday, after the wood flooring company reported a first-quarter profit that was well above expectations, but sales that came up short, including a surprise decline in same-store sales given the effects of the COVID-19 pandemic. The company swung to net income of $12.2 million, or 42 cents a share, from a loss of $4.9 million, or 17 cents a share, in the year-ago period. Results included a tax benefit of $4.4 million, compared with an expense of $0.2 million last year, as provisions of the CARES Act allowed the company to carryback certain losses and deduct certain capital expenditures. Excluding non-recurring items, adjusted earnings per share c came to 44 cents, compared with the FactSet consensus of 3 cents. Total sales rose to $267.4 million from $266.2 million, missing the FactSet consensus of $272.2 million. Same-store sales fell 0.9%, compared with the FactSet consensus of a 0.9% decline. Sales were up about 4% fourth the week ended March 21, then fell 45% in the final week of the quarter due to the pandemic. Same-store sales for the current quarter to date are down about 30%, while the FactSet consensus for the full second quarter is an 11% decline. "As of today, approximately 60% of our stores are fully operational, approximately 25% are scheduling appointments to allow customers to visit our showrooms, and approximately 15% are utilizing our warehouse-only model while less than 10 remain closed," said Chief Executive Charles Tyson. The stock has lost 2.6% over the past three months through Wednesday, while the S&P 500 /zigman2/quotes/210599714/realtime SPX -0.05% has gained 2.8%.
This replaces an earlier item that compared an incorrect sales figure with the FactSet consensus. It has been corrected.