• Third quarter income of US$13.3m
  • Sales down 16% in the quarter
  • Slimmest decline in Europe

Youth clothing maker Volcom has posted an 18% drop in third quarter profit, as sales slumped during the period.

Net income for the quarter ended 30 September was US$13.3m, compared with $16.3m in the same period last year.

Revenues were down 15.9% to $93.9m, compared with $111.7m in the prior year period.

Total revenues in the company's 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, fell 22% to $56.8m, down from $72.8m last time.

Europe sales slipped to $30.2m from $31.0m.

"We have worked diligently to capitalise on our company initiatives to create outstanding product and a cohesive brand message aimed toward capturing more market share," said Richard Woolcott, Volcom's chairman and chief executive officer.

Consolidated gross profit for the quarter was $48.5m, equal to 51.6% of total revenues, compared with $55.2m, or 49.4% of total revenues, a year ago.

Selling, general and administrative expenses fell to $28.8m from $30.3m.

The company predicted fourth quarter revenues would be around $59m to $62m, despite a "myriad complexities in accurately assessing the current state of the global retail environment amid this year's economic weakness."