Home / Knowledge / News / Fashion / K•Swiss plans to reduce inventory levels in 2009
K•Swiss plans to reduce inventory levels in 2009
09
Mar '09
K•Swiss Inc announced results for the fourth quarter ended December 31, 2008.

Financial Highlights
Net loss for the fourth quarter of 2008 was $13,714,000, or $0.39 per diluted share, compared with net earnings of $596,000, or $0.02 per diluted share, in the prior-year period. Net earnings and net earnings per diluted share for the year ended December 31, 2008, were $20,885,000, or $0.59 per diluted share, compared with $39,073,000, or $1.10 per diluted share, in the year ended December 31, 2007.

For the fourth quarter of 2008, total worldwide revenues decreased 28.0% to $56,279,000 compared with $78,167,000 in the prior-year period. Domestic revenues decreased 20.4% to $27,313,000 in the fourth quarter, and international revenues decreased 34.0% to $28,966,000. Total worldwide revenues for 2008 decreased 17.1% to $340,160,000, compared with $410,432,000, in 2007. Domestic revenues decreased 29.9% to $141,801,000 in 2008, while international revenues decreased 4.7% to $198,359,000.

Palladium Acquisition
The Company acquired Palladium SAS on July 1, 2008. Included above were Palladium's international net sales of $1,544,000, and $11,492,000, respectively, for the fourth quarter and year ended December 31, 2008, and net loss of $1,468,000 for the fourth quarter and net income of $181,000 for the year ended December 31, 2008.

Futures Orders
Worldwide futures orders with start ship dates from January through June 2009 were $93,610,000 at December 31, 2008, compared with $147,805,000 at December 31, 2007. Domestic futures orders decreased 37.2% to $31,881,000 at December 31, 2008, from $50,758,000 the previous year. International futures orders decreased 36.4% to $61,729,000 at December 31, 2008, from $97,047,000 the previous year.

Common Stock Dividend
K•Swiss also announced that the Board of Directors has elected to suspend the Company's common stock dividend for the foreseeable future to preserve liquidity and enhance the strength of its balance sheet. Suspension of the dividend is expected to conserve approximately $7.0 million of capital annually.

Earnings Guidance
Effectively immediately, K•Swiss has revised its guidance practice to focus on annual guidance in light of the significant volatility associated with quarterly projections. The extent and variability of the economic factors cited below call for measuring the Company's performance over a longer term rather than on a quarter-by-quarter basis.

For 2009, the Company expects full-year revenues to be approximately $210 million to $250 million and expects to report a full-year loss per diluted share of approximately $0.30 to $0.60. Full-year SG&A expenses are currently projected to be approximately $130 million, but are expected to fluctuate based on strategic decisions made during the year as well as general trends in the retail marketplace. The full-year tax benefit rate is presently estimated to be 30%, which could vary based on the global distribution of results.


Must ReadView All

Indian textile & apparel exports fall 13% in Jan 2018

Textiles | On 17th Feb 2018

Indian textile & apparel exports fall 13% in Jan 2018

A decline of 13 per cent year-on-year has been observed in the...

Brazilian cotton prices move up in first fortnight

Textiles | On 17th Feb 2018

Brazilian cotton prices move up in first fortnight

Cotton prices rose in Brazil in the first fortnight of February, as...

Courtesy: OrganoClick

Textiles | On 17th Feb 2018

OrganoClick introduces OrganoTex for water repellency

OrganoClick has introduced OrganoTex, a textile impregnation product...

Interviews View All

Giovanni Pizzamiglio, Paolo Crespi & Riccardo Robustelli
Epson, For.Tex & F.lli Robustelli

‘The percentage share of printing in the global textile market is pretty...

Nitin Bhatia
Trend Arrest

Setting up a brand for online selling is easy, but running the brand is not

DK Sharma
Velocity Apparelz

We constantly communicate with employees at all levels

Rikesh Mistry

Jupiter Comtex Pvt Ltd, established in 1973, started its textile machinery ...

Vikas Banduke

Softech Controls Private Limited (SCPL) is a part of the Cotmac Group, an...

C Dhandayuthapani

MAG Solvics Private Limited was established in 1991 to design and develop...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

February 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
70.0%
No
13.0%
Skip
17.0%

Total Votes: 100

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.0%
No
30.0%
Skip
7.0%

Total Votes: 100

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
88.0%
No
9.0%
Skip
3.0%

Total Votes: 100

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
83.0%
No
8.0%
Skip
9.0%

Total Votes: 100


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search