US: Guess continues growth with 10% Q3 profit gain
Lifestyle apparel company Guess recorded a 9.9% gain in third quarter profit to US$64m, thanks to a 12.5% revenue increase.
Earnings per share for the period ended 1 November were up 11.3% to $0.69, as revenues hit $527.9m.
North America retail sales leapt 11.7% to $235.1m, although same store sales dipped 0.8%.
Wholesale revenues were up 2.4% to $78.8m, while European sales increased 16.8% to $186.2m and licensing revenue rose 24.7% to $27.9m.
"Our performance, once again, demonstrated the power of our global business model, as each of our business segments contributed to our revenue growth," said Guess CEO Paul Marciano.
"Our North American business was strong at the beginning of the quarter, though business softened toward the end of the period.
"Internationally, we continued our expansion with solid revenue increases in growing markets like Europe and China, and our licensing business extended its recent trend of double-digit revenue growth."
For the first nine months of the fiscal year, net profit was up 26.2% to $165.7m, with earnings per share rising 26.4% to $1.77. Total revenue was up 24% to $1.53bn.
The company is now projecting fourth quarter revenues of $500-540m, and diluted earnings per share of $0.50-0.55.
For the full year, it expects revenues of $2.03-2.07bn and diluted earnings per share of $2.27-2.32.
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