* Posts first quarterly loss
* Cuts FY EPS view to $2.55 from $2.80
* Cuts revenue view to $1.40 bln from $1.43 bln
* Shares down 18 percent after market
(Adds analyst comment, details, updates share movement)
Oct 23 Tempur-Pedic International Inc
posted its first quarterly loss and cut its full-year forecast
as the specialty mattress maker struggles to maintain market
share against fast-growing rivals in the burgeoning market for
The company's shares, which have lost 50 percent of their
value in the past six months, fell more than 18 percent in
Tempur-Pedic, which pioneered the specialty bed market with
foam-based technology developed by NASA, has been struggling to
win back customers from rivals such as Select Comfort
and privately held Simmons Bedding Co and Serta Inc.
The company acquired market leader Sealy Corp last
month to fend off smaller rivals, who have been launching new
products and resorting to aggressive promotions.
"It is not so much the third-quarter performance, it's the
outlook. In a word 'disappointing'," Stephens Inc analyst Eric
Hollowaty of told Reuters.
Tempur said it expects a full-year profit of about $2.55 per
share on revenue of about $1.40 billion, down from its previous
forecast of $2.80 per share on revenue of $1.43 billion.
Analysts on average had expected a profit of $2.78 per share
on revenue of $1.43 billion, according to Thomson Reuters
"Changes in the competitive environment that we experienced
during the second quarter in North America continued to have an
adverse impact on our third quarter performance," Chief
Executive Officer Mark Sarvary said in a statement.
FIRST QUARTERLY LOSS
Tempur reported a third-quarter net loss of $2.0 million, or
3 cents per share, compared with a profit of $61.95 million, or
90 cents per share, a year earlier.
On an adjusted basis, the company posted a profit of 70
cents per share, beating analysts estimates by 1 cent.
Revenue fell 9 percent to $347.9 million.
Mattress sales in North America fell 15 percent, while
overall sales fell 11 percent, the company said.
Shares of the Lexington, Kentucky-based fell to $26.00 after
closing at $31.87 on Tuesday on the New York Stock Exchange.
(Reporting by Aditi Shrivastava in Bangalore; Editing by