Why Vera Bradley Shares Are Sliding Today - Vera Bradley (NASDAQ:VRA)

Vera Bradley Inc VRA reported a first-quarter FY23 sales decline of 9.7% year-on-year to $98.46 million, missing the consensus of $109.87 million.
Adjusted EPS loss of $(0.19) missed the analyst consensus of $(0.16).
The gross margin contracted 90 basis points Y/Y to 53.3%. The operating loss for the quarter widened to $(8.2) million.
The company held $64 million in cash and equivalents as of April 30, 2022. Cash used in operating activities totaled $(11.1) million.
"As we expect the challenging macroeconomic environment to continue for the balance of the year and that it will take time to return the Pura Vida ecommerce business to growth, we believe it is appropriate to lower our outlook for the fiscal year," said CEO Rob Wallstrom.
Outlook: Vera Bradley sees FY23 sales of $490 million - $505 million (consensus $564.96 million), a 5% - 7% decline Y/Y, and down from the previous outlook of $555 million - $575 million.
The company expects FY23 EPS of $0.35 - $0.50 (prior view $0.57 - $0.67), below the consensus of $0.61.
Price Action: VRA shares are trading lower by 9.30% at $5.69 on the last check Wednesday.