Reuters
Aug 3, 2011
Kenneth Cole sees revenue growth returning in Q3
Reuters
Aug 3, 2011
Aug 3 (Reuters) - Kenneth Cole Productions Inc forecast a third-quarter profit above analysts' estimates, as the clothing and footwear company expects revenue growth to resume in the quarter.
Kenneth Cole |
The company, which has closed stores to flush out excess inventory and named a new chief executive in June, reported a lower second-quarter revenue due to weak sales at its retail business.
Kenneth Cole, named after the designer who founded the company in 1982, posted a second-quarter profit of 3 cents a share, compared with 5 cents a share a year ago.
Revenue dropped 5.3 percent to $102.2 million, missing estimates of $109.7 million.
The company expects a third-quarter profit of 29-31 cents a share. Analysts, on average, were looking for a profit of 21 cents a share, according to Thomson Reuters I/B/E/S.
Shares of the company had closed at $12.63 on Tuesday on the New York Stock Exchange.
(Reporting by Chris Jonathan Peters in Bangalore; Editing by Saumyadeb Chakrabarty)
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