Oct 27, 2009
Iconix third quarter results beat Street
Oct 27, 2009
Oct 27 (Reuters) - Iconix Brand Group Inc's (ICON.O) adjusted quarterly profit rose 23 percent, and its revenue beat market expectations for the fifth consecutive quarter, helped by a gain related to the sale of its Joe Boxer trademark in Canada.
The fashion house, several of whose brands are sold at WalMart Stores Inc (WMT.N), Target Corp (TGT.N) and Kohl's Corp (KSS.N) stores, said it earned an adjusted net income of $22.6 million, or 31 cents a share, slightly higher than $18.3 million, or 30 cents a share, a year earlier.
Including a non-cash charge related to the adoption of a new accounting treatment for convertible debt, the company earned 28 cents a share during the quarter.
Revenue rose 8 percent to $59.4 million and included a $3.7 million gain related to the sale of Iconix's Joe Boxer brand.
Analysts were looking for a profit 28 cents share, on revenue of $53.88 million, according to Thomson Reuters I/B/E/S.
Earlier on Tuesday 27 October, the company said it had agreed to buy a 51 percent interest in the privately held Ecko portfolio of brands for $63.5 million as part of its long-term growth strategy.
The company, which recently moved its Rocawear women's license to a new licensee, backed its 2009 earnings view of between $1.17 and $1.22 a share. Analysts were looking for $1.19 a share.
Shares of the company closed at $13.37 Monday 26 October on Nasdaq.
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