After surprising investors with a first-quarter profit, Skechers USA Inc. reversed its trajectory in the second quarter.
Skechers yesterday posted a net loss of $5.9 million, or 13 cents a diluted share, for the three months ended June 30 contrasted to earnings of $14.6 million, or 31 cents, in the year-ago period. The results beat analyst expectations of an average earnings decline of 18 cents a share.
Sales at the Manhattan Beach, Calif.-based company decreased by 16 percent to $299 million, versus $355 million in the second quarter of last year.
“Like many others, we too have been adversely affected by the economic climate, and have adjusted our inventory levels and expenses to meet the lower demand,” said David Weinberg, COO of Skechers, in a statement.
For the first half of the year, the company’s profits totaled $2.3 million, or 5 cents a diluted share, a 95 percent decrease from the first six months of 2008, while revenues were down 13 percent to $642.4 million.