Branded casual clothing maker Volcom Inc has posted a 12.4% rise in third quarter profit, helped by strong sales in all territories, but is cutting its outlook for the year amid a weakening retail environment.

For the three months to 30 September, net income rose to $16.3 m, or $0.67 per share, from $14.5m, or $0.59 per share, for the same period last year.

Total revenue at the Costa Mesa, California-based company, which makes young men's and women's clothing and accessories, increased 23% to $111.7m from $91.0m.

Sales in its US segment, which includes the US, Canada, Japan and most other international territories outside of Europe, as well as the company's branded retail stores, rose 12% to $72.8m.

In Europe, sales were up 20% to $31.0m, the company said.

"Our solid third-quarter performance is testament to the strength of the Volcom brand and our team amid a challenging retail environment," said Richard Woolcott, Volcom's chairman and chief executive officer.

However, noting "recent, significant changes in the weakening US retail environment as well as the overall global economy," Volcom expects fourth quarter earnings per share to be in the range of $0.17 to $0.19, and sales of $69-71m, which is flat to 3% above last year's quarter.  

For the full year, its revenue guidance has been cut to $333m to $335m with earnings per share in the range of $1.42 to $1.44.

This compares with earlier forecasts in July, when the company expected revenues of $344m to $347m and diluted earnings per share of $1.50 to $1.53.