Iconix brand revenue declines 13% to $46.2 mn in Q3
Iconix Brand Group has reported total revenue of $46.2 million for Q3 2018, a 13 per cent decline as compared to $53.2 million in the prior year quarter. For the nine months ending September 2018, total revenue was $145.0 million, a 16 per cent decline as compared to previous year. Iconix’s financial performance was adversely affected by Sears’ bankruptcy.
“Our results for the quarter were negatively impacted by the Sears bankruptcy filing which resulted in P&L charges; however, we continue to forecast debt covenant compliance. While the domestic business did not see the progress we had hoped for, our international business continued its profitable growth. We are critically evaluating our operational cost structure to ensure it is aligned with our current level of business and near term plans," said Bob Galvin, CEO, Iconix.
The men’s segment declined in Q3 2018 primarily from the Starter and Buffalo brands said a press release from Iconix. The International segment provided organic growth primarily from the Umbro and Lee Cooper brands, specifically in the Europe, India and China territories. The home segment declined 6 and 9 per cent for the third quarter of 2018 and nine months ended September 30, 2018, respectively. The revenue in the home segment year-over-year is partially down due to the terms of a renewal of the Waverly Inspirations contract with Walmart.
Iconix is an American brand management company that licenses brands to retailers and manufacturers primarily in the apparel, footwear, and apparel accessory industries. Its brands are available in such stores as Kohl''s, Kmart, Sears, Macy''s, Target and JC Penney.
Saturday, 17 November 2018