QVC parent stock sinks after preliminary results show revenue decline

Shares of QVC parent Qurate Retail Inc. sank 18.4% in Friday trading after the company gave a preliminary look at fourth-quarter revenue results that show an 8% to 9% decline, in constant currency. Revenue for QxH, which represent the QVC U.S. and HSN businesses, are expected to be down 6.5% to 7.5%, also on a constant currency basis. Chief Executive David Rawlinson said in a statement that revenue deteriorated throughout the fourth quarter. The company’s fulfillment center in Rocky Mount, N.C. experienced a devastating fire on Dec. 18 that will result in the shuttering of the facility and nearly 2,000 job losses. The body of one victim was found in the facility. In the Friday announcement, Qurate says it’s still assessing the damage and filing the appropriate paperwork related to the fire, and the company has insurance. Orders have been diverted to other facilities. Qurate stock is down 50.8% over the past year while the S&P 500 index has gained 15.5%.Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.

Read Full Story