Costs associated with Wolverine World Wide Inc.’s integration of the Saucony, Keds, Stride Rite and Sperry Top-Sider brands — purchased last year from Collective Brands Inc. for $1.24 billion — sent the company into the red during its fourth quarter.
For the period ended Dec. 29, 2012, the company reported a loss of $3.7 million, or 8 cents a share, versus a profit of $23 million, or 47 cents, for the same quarter a year ago. Fourth-quarter revenue increased 60.5 percent to $652.2 million, from $406.5 million in the year-ago period.
Analysts polled by Yahoo Finance had expected earnings of 17 cents on sales of $652.1 million.
The company tallied full-year earnings of $80.7 million, down from $123.3 million for fiscal 2011. Revenue during the year grew by 16.4 percent to $1.64 billion.
For his part, Chairman, President and CEO Blake Krueger said he is bullish about the months ahead. “2012 was the most transformative year in the company’s 130-year history,” he said Tuesday during a conference call with investors and analysts. “The addition of the iconic Sperry Top-Sider, Saucony, Keds and Stride Rite brands to our existing, strong, 12-brand portfolio nearly doubled the size of the company. … For 2013, we will drive record growth and market share gains by delivering innovative product across our portfolio, extending our international footprint — especially with our newest four brands — [and] continuing to capitalize on the lifestyle brand opportunity for our largest brand, and growing our global consumer-direct business. I really couldn’t be more excited about our future prospects, and the company is on track to deliver another record year in 2013 and beyond.”
Wolverine forecast first-quarter revenue of between $620 million and $640 million, and projected 2013 full-year revenue of $2.7 billion to $2.8 billion.