NEW YORK — Hefty sales gains allowed Quiksilver Inc. to easily outpace Wall Street forecasts in the fourth quarter.
For the three months ended Oct. 31, the Huntington Beach, Calif.-based active apparel maker reported a more than fivefold increase of 412.7 percent in net earnings to $12.2 million, or 49 cents a diluted share. That compares with last year’s profits of $2.4 million, or 10 cents. Earnings per share eclipsed analysts’ estimates by 6 cents.
Sales for the period grew 14.6 percent to $195 million from $170.2 million a year ago. Geographically, domestic net sales during the quarter grew 8.5 percent to $109.7 million from $101.1 million a year ago, while European net sales rose 23.5 percent to $85.3 million from $69.1 million last year. Measured in local currency, European net sales increased a more modest 14.5 percent year-over-year.
Also adding to sales was Quiksilver’s commitment to retailing, as the company opened 26 full-price stores by yearend, and acquired Beach Street, the owner and operator of 26 Quiksilver outlet stores.
"These results represent our fourth consecutive quarter in which we exceeded expectations, and we look forward to building on our strong momentum as we enter 2003," said chief executive officer Robert McKnight Jr. in a statement. "Fiscal 2002 was also a year filled with many strategic and operational accomplishments for our company. First and foremost, our recently announced merger with Ug Manufacturing Pty. Ltd. and Quiksilver Japan K.K., which is expected to close in the next few days, will allow us to consolidate global control over our wholesale business and unify the brand under one powerful operating force."
Overall, for the full fiscal year, Quiksilver reported net earnings improved by more than a third, gaining 34.2 percent to $37.6 million, or $1.54 a diluted share. That compares with last year’s net income of $28 million, or $1.17.
Sales for the year inflated 13.8 percent to $700.7 million from $615.5 million a year ago.
In a separate matter, Quiksilver said Wednesday that it has signed Ernie Els, the current British Open Champion and number-three ranked golfer in the world, to a five-year endorsement agreement for its Fidra Golf apparel line.Under the terms of the agreement, Els will wear Fidra apparel exclusively while competing professionally around the globe.
@kering_official is spinning off its stake in puma in an effort to focus on its luxury brands, the brand operator announced yesterday. “We are proud to have supported the turnaround of Puma, which now has unrivaled capabilities to take full advantage of the specific dynamics of its global markets and is poised to achieve substantial growth,” said François-Henri Pinault, Kering’s chief executive officer and chairman. Artémis will become a “long-term strategic shareholder” of Puma with a 29 percent stake. #wwdnews #wwdfashion (📷: @jilliansollazzo)
The fashion world mourns for celebrated street style photographer, Nabile Quenum, who died at age 32 in Paris.
Quenum, creator of the fashion blog “J’ai Perdu Ma Veste,” was a fashion week fixture, and regularly shot for New York magazine’s The Cut, among other outlets, and brands such as Louis Vuitton, Moncler and Adidas. He was also actively involved in the #NoFreePhotos initiative, which kicked off in the fall. Read more about Quenum in @kbsmoke's story on WWD.com. #wwdnews
@verwanggang and @maisonladuree have teamed up on a dessert collab called Vera Wang Pour Ladurée. The collection, which launched this week, features a specialty macaroon, as well as a wedding cake inspired by one of the designer’s gowns. “I could not imagine a more delicate or sophisticated creation to grace any couple’s celebration,” said Wang. #wwdfashion
“I’m Russian and I love to use all these little tricks that I got from my grandma or my mom. We didn’t have a lot of money for creams or anything like that so we would use a garden as a beauty treatment regime. We’d put cucumber in the fridge and do a cucumber mask,” says model @irinashayk on one of her beauty hacks. WWD asked celebs what their go-to self-care rituals are. See what Naomie Harris, Freida Pinto and more said on WWD.com. #wwdeye #wwdbeauty (📷: @zefashioninsider)
Exclusive: @viktorandrolf are teaming up with @Zalando on a collection made from leftover clothing. The lineup, which lands at the retailer February 1, includes 17 pieces adorned with sliced up and repurposed overstock from the retailer’s private label collection. Pictured here is a look from the collection –– see more on WWD.com. #wwdfashion #wwdnews
@duewestnyc is the newest bar joining the collection of intimate neighborhood-focused spaces in the West Village. The cocktail menu, which includes bitters and syrups made in-house, offers a “Build Your Own Old-Fashioned” – like the one pictured here – where guests can choose from a list of spirits and unexpected sugars and bitters. #wwdeye
Spotted at last night’s National Board of Review gala in NYC: Angelina Jolie. Jolie – along with Meryl Streep, @lupitanyongo and more – continued the all-black dress code from Sunday’s Golden Globes. #wwdeye (📷: @lexieblacklock)