Timberland cuts Q2 loss as sales soar
Takeover target Timberland saw its second quarter losses narrow after revenues registered strong growth across North America, Europe and Asia.
Egytex News Desk
Source: www.mrketplace.com
The outdoor apparel and footwear company, currently being acquired for $2 billion by VF Corporation, said revenues had increased 15.4% in North America during the quarter, while sales in Europe had risen by 37.4% and in Asia by 40%.
Footwear revenues increased 28.2% and apparel and accessories sales were up 26.8%, while wholesale revenues lifted 28.7% and consumer direct sales rose 24.5%, Timberland said.
However, gross margins were down 210 basis points to 47.4%, with higher product costs more than offsetting the favourable impact of foreign exchange rates.
Timberland said: “The company expects higher product costs to continue through 2011; however, the company expects a positive impact from strategic price increases in the back half of the year.
Source: www.mrketplace.com
From the Egytex news archive, first published on 7 August 2011. Figures and names are as reported at the time.
