Higher income at Timberland
The Timberland Company has posted fourth-quarter net income of $22.3 million compared with $13.1 million in the prior-year period.
Fourth-quarter revenue remained relatively flat at $387.8 million compared with the prior-year period but was down 3.9% on a constant dollar basis, reflecting declines in the boots business, partially offset by strong growth in the SmartWool brand and performance footwear.
North America revenue decreased 6.5% to $215.7 million compared with the prior-year quarter because of a decline in the boots business partially offset by growth in Timberland brand apparel, SmartWool apparel and accessories, and men’s performance footwear. Europe revenue increased 17.1% to $128.4 million, and increased 8.3% on a constant dollar basis. European results reflect benefits from foreign exchange, continued strength in the boots business, growth in all categories of women’s footwear, and the net addition of nine retail stores since the fourth quarter of 2008. Asia revenue decreased 13.4% to $43.6 million compared with the prior-year period, and decreased 17.6% on a constant dollar basis, driven by declines in boots, casual footwear, apparel, and the net closure of eight retail stores since the fourth quarter of 2008.
Global footwear revenue decreased 2.8% to $273.4 million during the fourth quarter.
Jeffrey Swartz, president and chief executive officer, said: “In 2009 we saw solid results in our classic boot business in Europe, substantial growth in our SmartWool brand and significant improvement during the fourth quarter in the performance footwear category, all indicative of Timberland’s strength as an authentic outdoor brand. During these difficult economic times we have worked hard to continue making great product, build our relationship with consumers around the world and maintain a strong balance sheet, all of which we believe leave us well-positioned to capture the long-term potential of the Timberland brand.”
