Iconix Net Jumps 31.4 Percent in Q2
Posted on July 24, 2013 by
NEW YORK-Setting new records for both revenue and earnings, Iconix Brand Group posted a gain of 31.4 percent in net income, to $42 million, in its fiscal second quarter ending on June 30.
Licensing and other revenue for the brand-management company totaled $115.1 million, up 22.9 percent from the second quarter of last year. The top line benefited from the formation of two international joint ventures, one in Canada and the other in India, during the quarter. The two ventures contributed a total of $15.4 million in revenue.
Selling, general and administrative expenses were 25.9 percent in dollars and 89 basis points as a percentage of sales, to 37.9 percent.
Based on these results, Iconix said it is maintaining its forecast of $425 million to $435 million of total revenue for the fiscal year. Neil Cole, chairman and CEO, said the company's performance "demonstrates the power of our business model," and points the way to additional growth over the next few years as the company builds its existing brands and adds other brands to its portfolio.