by The Editors on November 16, 2009
Orange 21, the parent company of Spy Optic filed their Form 10-Q today for the quarter ended September 20, 2009 and reported drops across the board.
- Consolidated gross profit decreased 52% to $2.9 million compared to 2008
- Consolidated net sales decreased 27% to $8.8 million
- A net loss of $1.1 million was incurred for the quarter
- Sales have decreased across all lines including snow and motocross goggles and sunglasses and amongst all customer classes.
- Sales and marketing expense decreased 41% to $1.8 million
- US employees are currently under a temporary 10% reduction in pay
Looks like management is pulling in the belt right along with the sales drop. But then what?
[Link: Guru Focus]
by The Editors on November 16, 2009
What do you know? Pac Sun shares reportedly “plunged in after-hours trading” today after the company announced that it lost $10.9 million in the Q3, according to the Associated Press.
Revenue fell 17 percent to $268.3 million from $323.6 million. Sales at stores open at least a year fell 18 percent during the quarter. Sales at stores open at least a year are a key measure of retailer performance because they measure growth at existing stores rather than from newly opened ones.
Shares were only down 19 percent. Follow the jump for the full press release.
[Link: Associated Press]
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by The Editors on November 16, 2009
We’re not even going to hazard a guess on all the things PacSun will have to talk about during their Q3 conference call at 1:30 PT on Monday, November 16, 2009. We’re just going to listen in on the call. Click here to listen.
[Link: CNN Money]
by The Editors on November 13, 2009
We’ve always wondered where all the Quiksilver and Roxy overstock goes. And now we know at least part of the story. Some of it ends up in the California Central Valley town of Visalia, according to a story in the Visalia Times Delta.
Visalia school psychologist Ray Miller has been helping students put clothes on their backs and shoes on their feet for more than a year. . . Miller, who had been going to Southern California to get clothes from Quiksilver’s warehouse at a discounted price, learned recently that the retailer would donate eight pallets full of shirts, shorts, pillows and accessories for students.
It’s nice that $152,000 worth of unwanted clothes could find a good home, no?
[Link: Visalia Times Delta]
by The Editors on November 6, 2009
Scott “Hollywood” Sepkovic, the man many credit with transforming Hansen’s Monster from an energy drink into and international brand, has filed a “multi-million dollar lawsuit against the company” according to press release sent out today.
In the lawsuit, Crown AMG alleges that Monster unlawfully interfered with Crown AMG’s business by, among other things, filing lawsuits against Crown AMG clients, instructing Crown AMG’s clients not to pay Crown AMG, and making false representations to Crown AMG and its clients. . . “We are seeking appropriate relief from the court and will continue conducting business in the meantime,” said Scott Sepkovic, President of Crown AMG. “I can only say that Crown AMG suffered and continues to suffer actual monetary loss as a result of Monster’s interference with Crown AMG’s relationships with many companies and individuals.”
The lawsuit was filed on November 3, 2009. Sounds like this could get pleasantly messy in the short term. Follow the jump for the rest of Hollywood’s side of the story.
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by The Editors on November 5, 2009
Big day behind the behind the velcro curtain. According to a Josh Hunter story on Transworld Business, Quiksilver has laid off 125 employees and eliminated 75 positions in the Americas region.
“We’ve reported to investors over the past couple of quarters that we’d be making expense reductions of between 40–60 million dollars from a combination of SG&A improvements and cost cuts, as well as cost of goods sold improvements, or margin improvements,” [Vice President of Investor Relations Bruce] Thomas explains. “In doing that we started down a path of redefining the structure of our Americas operation in particular because we had been arranged along an organization structure that had brand management silos. We had separate merchandising, design, sales, marketing, sourcing, and production teams by brand for each region. We’re breaking down some of those brand barriers and creating a structure that’s much more functionally based moving forward.”
And yes, as a commenter pointed out, this is consolidation.
[Link: Transworld Business]
by The Editors on November 4, 2009
Transworld Media has announced that Rob Campbell has been promoted to the position of Editorial Director at the company, according to a post on TransWorld Business.
In his new position, Campbell will oversee all six TransWorld titles, including SKATEboarding, SNOWboarding, SURF, Motocross, Ride BMX, and Business. He will also direct content strategy and partnerships across all platforms including print, digital, and television.
Josh Hunter will be “assuming editorial responsibilities” at Transworld Business in the interim. We’re guessing this is just one of several consolidation announcements to come.
[Link: TransWorld Business]
by The Editors on November 4, 2009
Brooke Geery gets right to the questions all of us have about what’s going on at the Kass brother’s glove company in YoBeat’s Hump Day Interview with Grenade CEO Joseph Condorelli.
After all, Joseph is an outsider. A loud-mouthed New Yorker who came from a business background, having never set foot on a snowboard, to run a snowboard company that at the time, was on the brink of disaster. And even though he supposedly didn’t know what a “beanie” was, he’s worked day and night for two solid years to keep the company afloat and thriving. Yeah, it’s not the same Grenade we all hung out at, now it’s a growing company that might actually be around for years to come. Love him or hate him, this is Joseph’s side of the story.
We knew there had to be someone running things behind the camo curtain.
[Link: YoBeat.com]
by The Editors on November 3, 2009
If you’re going to work for the man there’s nothing better than making the man come to you. Take Mike Carter for example, after years of being the marketing face of Electric Visual, he ducks out to take a global marketing job at the Park City, Utah based consumer electronics company Skullcandy. But does he follow the Angel Maroni’s trumpet and head off to the Holy Land? Not at all. He brings Skullcandy to him and the OC Register writes it up.
“The office in San Clemente will literally be a bridge from the snow to the sand,” said Mike Carter, Skullcandy’s vice president of global marketing. “It’s a compelling story because Park City has the best snow in the world and San Clemente is arguably the best surf spot in America. . . .The new 4,500 square foot office will be housed in a former bank on El Camino Real, but it will be far different from the typical buttoned up setting. A mini skate ramp and “boardroom,” a space for employees to hang their surfboards and wetsuits, are in the works. Showers will also be available.
Yeah. And it’s much closer to where Mike lives and he’s not movin’. But he’s a great marking guy so he left that part out.
[Link: OC Register]
by The Editors on October 30, 2009
Sadly, we missed yesterday’s Volcom conference call in which CFO Doug Collier outlined the following:
Total revenue from our US segment including royalties for the third quarter, decreased 22% to 56.8 million, compared with 72.8 million in Q3 of 2008.
- men’s product revenue decreased 19% to 24.5 million for Q3, compared with 30.2 million in the third quarter of 2008
- girls product revenue decreased 46% to 10.9 million versus 20 million in the third quarter of last year.
- Snow revenue decreased 3% to $15.5 million, compared with $15.9 million last year
- Revenue from our Creedlers footwear line was a $136,000 versus $316,000 in Q3 of last year.
- Revenue from our girls swim line was $65,000 versus $71,000 in Q3 last year
There’s more, but you can read it all right here. Or follow the jump for the official press release.
[Link: Seeking Alpha]
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Orange 21, the parent company of Spy Optic filed their Form 10-Q today for the quarter ended September 20, 2009 and reported drops across the board.
