Finlay Enterprises Inc., which operates jewelry counters in department stores, on Tuesday issued its second warning on full-year earnings, blaming continuing economic weakness and a reduction in the number of counters it will operate, Reuters reported.
For the year, the New York-based company expects earnings of $2.10 to $2.15 per share, down from its previous estimate of $2.45 to $2.50 per share, Reuters reported.
For its fiscal second quarter, Finlay projected a net loss of 10 to 12 cents a share and net sales of $195 million to $200 million, Reuters reported. It also expects its autumn same-stores sales to drop 1 percent to 2 percent.
Aside from the economic environment, the company also said its business will be hurt by Federated Department Stores Inc.’s decision to fold a dozen Liberty House department stores into its Macy’s West division and assume operating control of the jewelry departments there, Reuters reported.