Reddy Ice dips to new 52-week-low after disappointing Q2 earnings
Shares of Reddy Ice Holdings Inc. (NYSE:FRZ) hit a new 52-week-low today after the Dallas-based ice maker this morning posted decreased second-quarter earnings that widely missed at least one analyst’s estimate.
For the quarter ended June 30, Reddy earned $5.7 million, or $0.26 per share, compared with $10.6 million, or $0.48 per share, in the prior-year period. One analyst polled by Thomson First Call had estimated earnings of $0.51 a share for the quarter.
Included in the results are $4.6 million of costs related to ongoing antitrust investigations and related litigation.
The company said results fell below expectations “due to current economic trends, which resulted in significant volume shortfalls.” It also cited cost pressures, including higher fuel costs.
In light of the disappointing results, Reddy revised its revenue guidance for 2008 to range between $330 million and $340 million and net income to range from $10.4 million to $14.5 million.
In afternoon trading, shares of Reddy were changing hands at 10.61, down almost 21% from Wednesday’s close after hitting a new 52-week-low of $10.07 earlier in the day. Previously, the stock had ranged between $11.89 and $29.94 in the past year.
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