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Sector Update: Consumer

By: MT Newswires
Posted: 8/8/2014 3:43:00 PM
Referenced Stocks: IRG

Consumer stocks were higher Friday with shares of consumer staples companies in the S&P 500 rising 1.0%. Shares of consumer discretionary firms in the S&P 500 were up 1.5%.

In company news, Ignite Restaurant Group ( IRG ) slid to an all-time low Friday after the parent company for Joe's Crab Shack and the Macaroni Grill reported a big miss with its Q2 net income of revenue.

After the close on Thursday, the restaurant company reported Q2 non-GAAP adjusted net income of $2.0 million, or $0.08 per share, up from a $973,000 profit last year but trailing the Capital IQ consenus by $0.16 per share.

On a GAAP basis, the company earned $1.8 million, or $0.07 per share, reversing a $2.5 million net loss during the same quarter last year.

Revenue rose 0.7% year over year to $229.8 million, trailing analyst estimates by around $9.2 million.

IRG shares were down nearly 35% in late trade at $8.07 apiece, earlier falling to a new record low of $7.60 a share.

In other sector news,

(+) MELI, Q2 adjusted EPS of $0.72 tops estimates by $0.16 per share. Revenue rises 17.5% year over year to $131.8 mln, beating Capital IQ consensus by $20.46 mln.

(-) POST, Expands peanut butter operations with $128 mln acquisition of American Blanching. Deal is expected to contribute around $135 mln in net sales and between $14 mln to $16 mln of adjusted EBITDA on full-year basis.