Ashlyn Harris in ads for Umbro.

Shares of Iconix Brand Group Inc. rose 12.9 percent in midafternoon trading after the company reported first-quarter earnings that showed the company ended the period in the black.

For the three months ended March 31, the company posted net income of $32.7 million, or 51 cents a diluted share, from a net loss of $4.3 million, or 9 cents, a year ago. GAAP diluted earnings per share from continuing operations for the quarter were 51 cents, versus 6 cents a year ago. Licensing revenues slipped 17 percent to $48.5 million from $58.7 million.

Wall Street was expecting 12 cents on revenues of $51.1 million.

John N. Haugh, president and chief executive officer, said, “As many of you know, over the past several months, we’ve been highly focused on improving our balance sheet while actively managing our brands. We’re happy to say that we’ve made good progress on both fronts.”

He said the company is evolving its business into three areas. The first includes partnerships that are still in the start-up phase, including Umbro and Target, and Starter and Amazon. The second is the reinvention of several legacy brands, which include Mossimo, Ocean Pacific and Danskin. Third is the direct-to-retail and licensee relationships for many of its core brands.

The company said first-quarter results were in line with expectations, and that the 1.5 percent Convertible Note debt refinancing is complete. Iconix also said it had $15.4 million of free cash flow in the quarter, representing an 18 percent increase from $13 million in the same year-ago quarter.

The company reiterated its previous full-year revenue guidance of between $190 million and $220 million. It also said it is on track to deliver full-year cost savings of $12 million, which aligns expenses with the company’s revenue base. Iconix gave non-GAAP net income guidance of between $20 million and $30 million and full-year free cash-flow guidance of $50 million to $70 million.

The shares were trading at 67 cents at 2:55 p.m.

Separately, Manhattan Federal District Court Judge Paul Gardephe ruled on Thursday that Shawn Carter, the American rapper known professionally as Jay Z, needs to be in court on Tuesday to testify as to why he should not be required to answer questions from the Securities and Exchange Commission in connection with the sale of his apparel line Rocawear to Iconix.

The SEC is seeking an order from the court directing Carter to comply with an investigative subpoena. The SEC said it is seeking Carter’s testimony to inquire about, “among other things, Carter’s joint ventures with Iconix.”

A spokeswoman for Jay Z said Thursday, “Mr. Carter had no role in that reporting or Iconix’s other actions as a public company,” emphasizing that Carter is a “private citizen who should not be involved in this matter.”

The SEC has been conducting a probe of the Iconix’s financial reporting since 2015. The management team at Iconix then was different from the executives who are managing the company today.

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