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Kellwood Q4 profit dragged down by restructuring charges
Kellwood Co. (NYSE: KWD), parent of Kelty, Sierra Designs and Wenzel, said profit fell 44 percent in the fourth quarter, largely due to a restructuring charge and other expenses.
Net income for the quarter ended Feb. 3 was $7 million, or $0.27 per share, down from $12.5 million, or $0.49 per share, for the fourth quarter a year ago. Results include $4.9 million, or $0.19 per share, in charges or expenses. Excluding those costs, and earnings from discontinued operations, the company said profit would have been $11.4 million, or $0.44 per share, versus $6.2 million, or $0.24 a year earlier.
Sales for the quarter were $491.9 million, up from $446.5 million in the year ago period.
Income for the full year was $31.4 million, or $1.22 per share, up from a loss of $38.4 million, or $1.42 per share, for 2006. Revenue for 2007 was $1.96 billion, flat with 2006 sales.
Kellwood said it expects fiscal 2008 earnings to rise sharply compared to year-ago results. Earnings for the year are expected to range from $1.80 to $1.89 per share, up from a profit of $1.64 in the year ended Feb. 3, 2007. Sales are forecast to grow to $2 billion to $2.03 billion from $1.96 billion.
For the first quarter, the company projects earnings of $5 million to $5.5 million, or $0.19 to $0.21 per share. Sales for the first-quarter are expected to range from $490 million to $500 million.
Additionally, Kellwood’s board declared a regular quarterly dividend of $0.16 per share. The dividend will be payable on April 6 to shareholders of record on March 26.
Dick’s posts first billion-dollar sales quarter
Fourth-quarter earnings were up 25 percent for Dick’s Sporting Goods (NYSE: DKS) as sales at established stores increased.
Net income for the quarter totaled $67.7 million, or $1.20 per share, from $54 million, or $1 per share, during the same period last year. Revenue grew 21 percent to $1.03 billion, from $849.5 million a year ago. Same-store sales grew 2 percent.
“The fourth quarter was our first billion-dollar sales quarter,” said Edward W. Stack, chairman and CEO, in a statement. “More importantly, we executed well through our most important quarter, delivering earnings in excess of our guidance.”
For the year, earnings grew 54 percent to $112.6 million, or $2.03 per share, from $73 million, or $1.35 per share, a year ago. Revenue increased 19 percent to $3.11 billion from $2.62 billion.
For the first quarter, Dick’s said it expects earnings per share between $0.35 and $0.38. Same-store sales are expected to grow between 4 percent and 6 percent at its stores. Dick’s guidance for the full year is net income between $2.37 and $2.40 per share, with same-store sales rising 2 percent.
Separately, Timothy E. Kullman will join the company in April as senior vice president and CFO, responsible for all areas of finance and accounting. Formerly CFO of Petsmart, Kullman succeeds Michael F. Hines, who is resigning at the end of March.
Eddie Bauer posts Q4 profit on lower costs
Eddie Bauer Holdings (Nasdaq: EBHI) swung to a fourth-quarter profit on a slight increase in revenue and lower expenses.
Eddie Bauer earned $63.2 million, or $2.11 per share, compared with a loss of $12.8 million, or $0.43 per share, for the same quarter in 2005. The 2005 quarter’s results included a loss from discontinued operations of $1.2 million, or 4 cents share. The 2005 loss also included a $40 million trademark impairment charge.
Excluding results from businesses that have been, or are in the process of being sold, the company earned $63.2 million, or $2.11 per share, compared with a loss of $11.6 million, or $0.39 per share, in the 2005 period.
Revenue rose 2 percent to $381.9 million from $376.4 million in the year-ago period. Same-store sales rose 4.6 percent.
For the full 2006 fiscal year, Eddie Bauer posted a loss of $212 million, or $7.06 per share. The company, which emerged from bankruptcy in June 2005, did not provide year-ago full-year figures, because of the restructuring.
Outdoor Channel posts Q4 loss on higher expenses
Outdoor Channel Holdings (Nasdaq: OUTD) reported a fourth-quarter loss as expenses rose when it was forced to book options as compensation.
The company also filed for a 15-day extension to file its 2006 annual report, saying a recent restatement of past financial reports diverted personnel from the current income statement. It plans to file by the new March 31 deadline.
For the quarter, Outdoor Channel reported a loss of $1.9 million, or $0.08 per share, versus profit of $1.1 million, or $0.04 per share, a year ago.
Fourth-quarter revenue rose 15 percent to $13.1 million from $11.4 million, paced by an increase in ad sales. Membership income totaled $1.0 million, up from $783,000 in the same period a year earlier.
For the year, Outdoor Channel swung to a loss of $7.3 million, or $0.30 per share, on revenue of $48.5 million. Full-year results for 2005 were a profit of $2.2 million, or $0.09 per share, on revenue of $42.9 million. Membership income increased 9.5 percent to $5.2 million from $4.7 million in 2005.
Stride Rite adopts new shareholder rights plan
Stride Rite Corp. (NYSE: SRR) said its board has adopted a new shareholder rights plan to replace its existing plan, which was scheduled to expire in July 2007. Stride Rite is the parent company of Saucony, Hind and Sperry Top-Sider.
The company said the new plan raises the stock ownership, triggering threshold to 15 percent from 10 percent. It also contains a provision that requires independent directors to consider at least once every three years whether maintaining the rights plan continues to be in the best interests of shareholders.
Wellman to up price of Fortrel fiber
Wellman (NYSE:WLM) announced that it will increase the price of all Fortrel polyester staple fiber products by 5 cents per pound, effective with April 15 shipments.
Steve Ates, vice president of sales and marketing, said in a statement, “This price increase is necessary due to higher transportation costs and increases in the cost of our petrochemical-based raw materials and their feedstocks.”
Sport Chalet founder to retire from board
Norbert Olberz, founder and chairman emeritus of Sport Chalet (Nasdaq: SPCHA and SPCHB), has retired from the company’s board of directors. He will relinquish the title of chairman emeritus, while retaining the title of founder.
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