Iconix Net Falls in Q4, Fiscal Year
NEW YORK-Net income for Iconix Brand Group slipped for both its fourth quarter and fiscal year, dropping 3.9 percent to 26.1 million in the quarter and falling 13.2 percent for the year, to $109.4 million.
Declines in revenues were the prime culprit in the brand-management company's sluggish performance. Licensing and other revenue fell 10.9 percent to $85.1 million in the quarter, which ended on Dec. 31. For the year, revenue was off 4.3 percent to $353.8 million. Selling, general and administrative expenses decreased 8.7 percent in dollars but increased 111 basis points as a percentage of sales, to 46.8 percent.
Neil Cole, Iconix chairman and CEO, said the fiscal year included the acquisition of more brands, the signing of a movie deal for the Peanuts brand and a new $1.1 billion securitization facility. Cole said the company's stable of brands, diversification across product categories and geographies, and strong balance sheet promise more growth in 2013.
Iconix has brought its brand lineup to 30 overall with its acquisition of the Lee Cooper brand for $72 million in cash. Lee Cooper is a British denim brand in men's and women's apparel, footwear and accessories, which is sold in more than 80 countries and which has 35 international licenses.