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GNC Holdings (GNC) Q1 Earnings Top Estimates, Sales Drop Y/Y

GNC Holdings, Inc . GNC is a leading global specialty retailer of health, wellness and performance products, including vitamins, minerals and herbal supplement products ("VMHS"), sports nutrition products and diet products. The company has a worldwide network of more than 8,905 locations.

Currently, GNC Holdings has a Zacks Rank #3 (Hold) but that could change following its first quarter 2018 earnings report which has just released. (You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here ). We have highlighted some of the key details from the just-released announcement below:

Earnings : The current Zacks Consensus Estimate is pegged at 20 cents per share. GNC Holdings' first quarter 2018 adjusted earnings per share of 24 cents exceeded this estimate by 20%.

GNC Holdings, Inc. Price and EPS Surprise

GNC Holdings, Inc. Price and EPS Surprise | GNC Holdings, Inc. Quote

Sales : GNC Holdings posted sales of $607.5 million in the reported quarter, a 7.2% drop on a year-over-year basis.

Key Stats : Revenues in U.S. and Canada segment decreased 4.5% to $512.4 million. Revenues from manufacturing/wholesale segment (excluding intersegment revenue) decreased 1.4%, to $55.1 million.

Major Factors : Per management, GNC Holdings saw year-over-year decline in revenues primarily due to the sale of Lucky Vitamin on Sep 30, 2017, which resulted in a $22.7 million reduction to revenues. Also, the termination of the U.S. Gold Card Member Pricing program in the prior year quarter resulted in a $23 million decrease in revenues.However, the company has delivered meaningful gross margin growth, driven by increased penetration of private label brands.

Stock Price : Following the earnings release, share prices gained 3.7% in the pre-market trading session.

Check back later for our full write up on this GNC Holdings earnings report later!

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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