Phoenix Q4 loss

US: Phoenix Footwear stumbles to Q4 loss

Author: just-style.com | 3 April 2007

California-based Phoenix Footwear Group has announced that net sales for the fourth quarter last year decreased 12.8% to $28.9m compared to the fourth quarter of fiscal 2005.

For the fourth quarter of fiscal 2006, the company reported a net loss of $23.4m, compared to net income of $71,000 for the comparable quarter last year.

The company reported net sales increases of 26.2% and 11.5% for Royal Robbins and HS Trask lines, but these were offset by declines in the other brands.

For fiscal 2006, net sales increased 28.8% to $140.6m, with full-year organic growth of 3.9% excluding the Chambers Belt and Tommy Bahama Footwear brands acquired during June 2005 and August 2005 respectively. The company's yearly net loss totalled $20.4m, compared to net income of $1.2m for fiscal 2005.

The positive organic growth was due to a 27.8% increase in Royal Robbins net sales, which was once again partially offset by declines in the company's other brands.

Phoenix Footwear's chairman and CEO Jim Riedman said: "2006 was an important year for Phoenix as we addressed several significant challenges which we believe pave the way for improved performance."

Sectors: Finance, Footwear

Companies: Phoenix Footwear, Tommy Bahama