Earnings at Guitar Center decreased 27 percent to $11.3 million or $0.38 per diluted share for the third quarter ended Sept. 30, compared to net income of $14.4 million or $0.51 per share for the comparable period a year ago. Revenues rose 12.3 percent to $472.7 million in the third quarter compared to $421.1 million for the same period last year. Guitar Center officials said that comparable store sales for the Guitar Center stores division were soft for much of the third quarter, and the Musician’s Friend Internet division experienced lower than expected sales. The third quarter results included stock-based compensation expense of $1.8 million after tax or $0.06 per share and a one-time after-tax gain of $1.2 million or $0.04 per share as a result of the disposition of real estate. Shares in Guitar Center fell about 6 percent in late trading to $42.74.
