Company lowers earnings guidance and faces softening demand for bedding

  • Tempur Sealy shares slide after cutting full-year earnings guidance
  • Weak demand for bedding in the US affects third-quarter results
  • Adjusted earnings of 77 cents a share, below market consensus
  • North American business sees 3.2% drop in revenue, international segment grows by over 12%
  • CEO cites challenging US bedding market as a factor

Shares of Tempur Sealy International slid after the company cut its full-year adjusted earnings guidance and posted weak third-quarter results as demand for bedding in the U.S. softens. The mattress and bedding company lowered its outlook for adjusted earnings to $2.30 to $2.50 a share and maintained its sales guidance of flat to slightly higher. In the third quarter, adjusted earnings were 77 cents a share, 4 cents below the market consensus of analysts polled by FactSet. Revenue posted a 3.2% top-line drop in its North American business but more than 12% growth in its international segment. The top line of $1.28 billion missed analyst forecasts for $1.31 billion, according to FactSet. "This outperformance and double-digit growth in international sales partially mitigated a challenged U.S. bedding market, which was softer than anticipated in the quarter," Chief Executive Scott Thompson said.

Factuality Level: 8
Factuality Justification: The article provides specific information about Tempur Sealy International’s adjusted earnings guidance, third-quarter results, and market performance. The information is supported by data from analysts and the company’s CEO. There is no obvious bias or opinion presented in the article.
Noise Level: 3
Noise Justification: The article provides relevant information about Tempur Sealy International’s weak third-quarter results and lowered earnings guidance. It includes specific details such as the stock price decline, adjusted earnings, and revenue figures. The CEO’s statement adds context to the situation. However, the article lacks in-depth analysis, antifragility considerations, and actionable insights.
Financial Relevance: Yes
Financial Markets Impacted: Shares of Tempur Sealy International
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Rating Justification: The article pertains to the financial performance of Tempur Sealy International, a mattress and bedding company. It discusses the company’s lowered earnings guidance and weak third-quarter results, which have impacted the company’s stock. However, there is no mention of an extreme event or its impact.
Public Companies: Tempur Sealy International (Unknown)
Key People: Scott Thompson (Chief Executive)

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