NEW YORK — Quiksilver Inc., the branded lifestyle company, said on Thursday that third-quarter profits shot up 63.9 percent on robust revenue growth.
For the three months ended July 31, the company reported net income of $19.5 million, or 32 cents a diluted share, which beat Wall Street’s forecast by 2 cents. Last year, Quiksilver, based in Huntington Beach, Calif., had earnings of $11.9 million, or 21 cents. Revenues for the quarter advanced 34.4 percent to $337.9 million from $251.5 million a year ago.
“The feedback regarding our spring lines at recent trade shows around the world, including MAGIC in the U.S. and ASR in Europe, was very positive and reflects our ongoing commitment to develop the best product in the market,” chief executive officer Robert McKnight Jr. said in a statement. “We believe that our merchandise is trend right and underscores our status as the dominant lifestyle company for kids and young adults around the world.”
Quiksilver’s businesses reported substantial operating income and revenue growth in all geographic regions.
In the Americas, operating profit increased 44.6 percent to $75.3 million on a 36.8 percent jump in revenue to $187.9 million. Operating profits in Europe rose 27.6 percent to $58.2 million as revenues climbed 23 percent to $115.4 million. When measured in euros, sales from the Europe segment grew 17 percent, Quiksilver said. In the Asia-Pacific region, operating income increased 81.3 percent to $16.3 million on a 67.4 percent rise in revenues to $33.1 million. Measured in Australian dollars, Asia-Pacific revenues gained 56 percent.
For the first nine months of the fiscal year overall, Quiksilver reported a 37.4 percent gain in earnings to $56.5 million, or 95 cents a diluted share, from $41.1 million, or 73 cents, last year. Revenues for the period increased 29.9 percent to $916.7 million from $705.8 million a year ago.
Quiksilver also confirmed its fourth-quarter and full-year guidance. For the fourth quarter, earnings per share are forecast at 36 to 37 cents on revenues of $315 million to $320 million. Full fiscal-year earnings per share are anticipated to be between $1.31 and $1.32, while the outlook for revenues is for a range between $1.23 billion and $1.24 billion.
— Dan Burrows