Destination XL Group stock (NASDAQ:DXLG) is tanking today on the back of weak commentary. So what is going on and why is Destination XL Group stock tanking?
Well,the largest omni-channel specialty retailer of big & tall men’s apparel, today announced that total sales for the 9-week holiday sales period ended December 30, 2017 increased 3.5% to $101.3 million as compared to $97.9 million for the same period of the prior year. Comparable sales for the same period increased 3.0%. Let us discuss sales in more detail:
November/December Sales by Month:
- For November, total sales increased 2.2% to $37.4 million compared to $36.6 million last year. Comparable sales for November increased 0.9% compared to a decline of 0.9% last year.
- For December, total sales increased 4.2% to $63.9 million compared to $61.3 million last year. Comparable sales for December increased 4.3% compared to a decline of 1.7% last year
These results are well below what we expected.
Based on the holiday sales results and expectations for the remainder of the fourth quarter, Destination XL Group stock is suffering, but management expects to achieve the low-end of the range of its previously announced guidance for fiscal 2017.
Further, Destination XL Group stock could get hit again in March when it plans to report its actual fourth-quarter and fiscal 2017 financial results on March 23, 2018, when management will also conduct its quarterly conference call to discuss its results for fiscal 2017, as well as its fiscal 2018 outlook.
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