Bidz Q2 Sales Estimated at $25 Million, Considering Stock Buyback
July 15, 10
Online jewelry retailer Bidz.com expects second quarter revenue to be approximately $25 million, the company reported on Wednesday, adding that it expects to post a per share loss of $0.02-$0.03.
Second quarter sales, based on the company’s report, may have declined compared to the second quarter of 2009, when Bidz generated $26.4 million in revenues. In the year ago quarter it posted a $620,000 profit.
The company also announced that a special committee composed of independent members of its board of directors has been formed to consider implementing a privately negotiated stock buyback of up to $2.5 million.
Under the existing share buyback program, $33.5 million has been authorized for repurchases. To date, 3.4 million shares have been repurchased for $18.5 million.
The company said it expects that a block of shares will be sold by Marina Zinberg, sister of the CEO, David Zinberg. David and Marina Zinberg have proposed canceling their 10b5-1 Plans assuming the buyback is completed.
Bidz.com's quarterly earnings conference call is scheduled for August 9.