UPDATE 1-Pantry Q2 disappoints Wall Street, shares tumble
* Q2 adj shr $0.00 vs est $0.08
* Revenue $1.68 bln vs est $1.75 bln
* Shares tumble 10 pct
May 4 (Reuters) - Convenience store operator Pantry Inc's (PTRY.O) second quarter fell short of market expectations, hurt by higher expenses, sending its shares down as much as 10 percent.
The company, which operates stores under banners like Kangaroo Express, posted a net loss of $166.1 million, or $7.44 a share, compared with a profit of $3.8 million, or 17 cents a share, a year ago.
The latest quarter's results include impairment and other charges of $164.2 million, and a charge of $1.9 million related to the settlement of a class action lawsuit.
Excluding these items, the company broke even on a per-share basis.
Revenue rose 28 percent to $1.68 billion.
Analysts on average were looking for a profit of 8 cents a share, before items, on revenue of $1.75 billion, according to Thomson Reuters I/B/E/S.
Total costs and operating expenses leaped 46 percent to $1.89 billion.
For 2010, the Cary, North Carolina-based company forecast merchandise sales between $1.77 billion and $1.81 billion, and merchandise gross margin between 33.6 percent and 34.1 percent.
Shares of Pantry, which have risen 25 percent in value over the past three months, were trading down 9 percent at $15.00 Tuesday morning on Nasdaq. They touched a low of $14.79 earlier. (Reporting by Vidya Lakshmi in Bangalore; Editing by Anne Pallivathuckal)
- Obama makes rare campaign trail appearance, people leave early
- Two arrested in death of Saudi student in California: report
- Obama makes rare campaign trail appearance, some leave early
- IBM to pay Globalfoundries $1.5 bln to take chip unit off its hands -WSJ
- Former 'American Idol' contestant Joanne Borgella dies at 32