Iconix Brand Group Inc, owner and licensor of brands such as Candie's, Joe Boxer, Mossimo and Danskin, yesterday (5 May) posted a better-than-expected 5% drop in first quarter profit and raised its full-year guidance.

For the three months to 31 March, net income fell 5% to $15.6m from $16.5m last time, while earnings per share slipped to $0.26 from $0.27.

Quarterly revenue was down 9% to $50.5m from $55.7m.

However, chairman and CEO Neil Cole said the "strong performance" was helped by the roll out of Op, Starter and Danskin Now at Walmart and improved margins.

Earlier in the day the company said it had bought a 50% stake in the tattoo-themed streetwear label Ed Hardy for $17m and was also looking at some "larger acquisition opportunities" this year.

In view of this, it raised its full year earnings guidance to a range of $1.30 to $1.35, up from $1.20 to $1.30, per share.

Full-year revenue forecasts have also been lifted to between $218m and $225m, compared with previous guidance of $210m to $220m.