Quiksilver Inc. on Thursday posted improved earnings results in which it substantially narrowed its second-quarter loss.
For the three months ended April 30, the loss attributed to Quiksilver was $5.1 million, or 3 cents a diluted share, against a loss of $83.3 million, or 51 cents, a year ago. The current reported quarter included $2.1 million of net after-tax asset impairment and restructuring charges, while the year-ago quarter included a $74.1 million non-cash goodwill impairment charge. Excluding one-time charges in both quarters, the loss was $3 million versus $17.3 million last year.
Revenues grew 3 percent to $492.2 million from $478.1 million, while same-store sales rose 6 percent on a global basis, the company said. The company also said revenues for each of the three brands — Quiksilver, Roxy and DC — rose in the quarter and revenues in the Americas and Asia/Pacific regions grew in all three channels of distribution, which includes wholesale, company-owned retail and e-commerce.
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Robert B. McKnight Jr., chairman, president and chief executive officer, said, “We continue to see examples of solid growth in our emerging markets while some established markets, particularly in Europe, have been impacted by regional economic uncertainty. Especially against this backdrop, we’re pleased to see that the improvements we’ve made to our retail presence continue to drive positive comparable store sales in all three regions.”
The company said on May 1 that it expanded its majority ownership in its Brazilian entity to 80 percent. Quiksilver said that business “continues to demonstrate strong growth and solid profitability while generating annual revenues of greater than $50 million.”