* Sees 3rd-qtr adj EPS of $1.36/share to $1.51/share vs est
* Sees revenue of $604 mln to $630 mln vs est $614.1 mln
* 2nd-qtr earnings $1.99/share vs est $0.99
* Revenue rises 4 pct to $554.2 mln vs est $564.2 mln
* Redbox sales rise 4.5 pct to $478.5 mln
July 25 Outerwall Inc, operator of
Redbox video rental kiosks, forecast weaker-than-expected
current-quarter results, sending its shares down 7 percent in
trading after the bell.
The company, which offers self-service movie rentals at
about 43,700 kiosks in the United States, said it expects
adjusted earnings of $1.36 to $1.51 per share in the third
quarter on revenue of $604 million to $630 million.
Analysts were looking for earnings of $1.63 per share on
revenue of $614.1 million, according to Thomson Reuters I/B/E/S.
Outerwall recorded a 47-cent per share tax benefit in the
second quarter due a change in its method of amortizing content
costs. It said the benefit would be largely expensed in the
second half of the year.
Redbox, a joint venture with Verizon Communications Inc
, mainly competes with Netflix Inc.
Outerwall, formerly known as Coinstar, acquired Redbox in
2008. It also operates about 20,300 coin-counting kiosks, where
consumers feed loose change into machines that count it and
Wal-Mart Stores Inc accounted for about 16 percent
of total revenue from continuing operations of $2.20 billion in
2012. Drugstore chain Walgreen Co accounted for about 16
percent and supermarket chain Kroger Co about 11 percent.
Outerbox said on Thursday that net income rose to $46.9
million, or $1.64 per share, in the second quarter from $36.9
million, or $1.11 per share, a year earlier.
Revenue rose 4 percent to $554.2 million. Redbox revenue
climbed 4.5 percent to $478.5 million as more people rented out
blue ray discs and video games.
Core diluted earnings per share from continuing operations
amounted to $1.91 per share. Analysts had expected earnings of
99 cents per share on revenue of $564.2 million, according to
Thomson Reuters I/B/E/S.
Outerwall shares closed at $65.30 on the Nasdaq. They have
risen about 20 percent in the last three months.