Sleep Number stock down nearly 10% as shortages crimp Q2 sales


Shares of Sleep Number Corp.
fell more than 9% in the extended session Tuesday after the company reported second-quarter profit and sales below Wall Street expectations. Sleep Number said it earned $22.3 million, or 88 cents a share, in the quarter ended July 3, versus a loss of $13 million, or 45 cents a share, in the year-ago period. Sales rose to $484 million from $285 million a year ago. Analysts polled by FactSet had expected the mattress maker to report per-share earnings of $1.10 on sales of $511 million. Sleep Number said it saw “robust” demand for some of its pricier items but that “near-term supply constraints” curbed sales in June and July. “We have made substantial progress in addressing temporary component shortages and expect strong delivery volumes the balance of the year,” the company said in a statement. The company raised its 2021 EPS outlook to at least $7.25, which is at least 58% higher than its 2020 full-year results excluding some items and nearly three times its 2019 EPS, it said. Shares of Sleep Number ended the regular trading day up 5.4%.


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