HBC shares tumble after company announces jobs cuts, weaker earnings
Hudson's Bay Co. shares traded down more than 10 per cent on Friday, a day after the company released disappointing quarterly earnings and announced it is cutting about 2,000 jobs.
CEO Jerry Storch told analysts in a conference call Friday that the company's transformation plan is intended to put HBC ahead and stay ahead of rapid industry trends, which include a shift from in-store to online shopping.
The company released its first-quarter results after markets closed Thursday and performed worse than analysts anticipated in a number of categories, including revenue and earnings per share.
RBC Capital Markets analysts Sabahat Khan and Irene Nattel wrote in a note that they expected HBC's shares to be weak Friday.
The company's shares fell $1.10 to close at $8.61 on the Toronto Stock Exchange.