The company reported a net loss of $11.5 million, or 33 cents a diluted share, for the second quarter, compared with a profit of $26.4 million, or 75 cents a share, in the same quarter last year. For the six months ended June 30, earnings for the company fell 62 percent to $12.6 million, from $33.5 million a year ago.
Revenue decreased 35 percent in the second quarter to $54 million, from $82.9 million in the year-ago period. For the six-month period, sales were down 29 percent to $128 million, from $181 million a year ago.
For the quarter, Palladium brand revenues were $2.1 million, with a net loss of $1.7 million.
The company reported that its future domestic orders, for July through December 2009, are down 43 percent, while international orders for the same period are down 31 percent.
“The environment at retail, as well as our brand’s popularity, remain challenging and are evident in the continued year-over-year decline in sales, earnings and backlog,” Steven Nichols, president and chairmen of K-Swiss, said in a statement. “We are managing this environment with firm control of our administrative cost structure.”
For more, see Monday’s issue of Footwear News.