NEW YORK — Tommy Hilfiger Corp. on Thursday posted a decline in third-quarter profits, but beat analysts’ earnings per share expectations by 1 cent.
For the quarter ended Dec. 31, income fell by 23.3 percent to $15.5 million, or 17 cents a share, from $20.2 million, or 22 cents, in the same year-ago period. The consensus among some Wall Street analysts was EPS of 16 cents. Revenue in the quarter fell by 7.9 percent to $396.6 million from $430.7 million.
The company said the results were impacted in part by a 36.3 percent drop in U.S. wholesale volume to $107.5 million from $168.8 million from reduced orders at the department store level. Included in the reduction is $13.5 million, which represents the volume attributed to the company’s exit from its young men’s jeans wholesale business during fiscal 2005.
For the nine months, income dropped by 5.6 percent to $67.7 million, or 73 cents, from $71.7 million, or 78 cents, in the year-ago period. Revenue also declined by 5.8 percent to $1.22 billion from $1.29 billion.
For more, see tomorrow’s WWD.