The Hong Kong-based brand management company said its sales declined 0.9 percent year-over-year, to $3.4 billion, from $3.5 billion in 2014.
Net profit for the period, however, gained 12 percent to $117 million, from $104 million in the prior year. Net profit attributable to shareholders advanced 5.6 percent, to $110 million. Adjusted net profit rose 3.8 percent, to $112 million. Earnings per diluted share were $1.33, an improvement from the prior year’s diluted EPS of $1.25.
“The financial results we have achieved during the period further reinforces our confidence in our business model, as well as our strategy of partnering with American affordable luxury power brands and taking them global,” Global Brands CEO and Vice Chairman Bruce Rockowitz said in a release. “During the period, we stayed the course of implementing our growth strategy for our business and translating this into tangible results. As a market leader in our space, we remained the partner of choice for leading brand owners to operate and expand the global presence of American power brands by leveraging our strong retail relationships, large distribution platform and innovative product design capabilities.”
Rockowitz added, “We continued to ensure that our portfolio is comprised of well-performing brands which strategically complement our key product categories as well as our core competencies. And to further the momentum of our two operating segments, Licensed and Controlled Brands, we successfully capitalized on a number of compelling growth opportunities over the past 12 months, setting the stage for the growth of Global Brands in 2016 and beyond.”
Regarding its footwear business, the company said “Our footwear and accessories business also continued to perform well, particularly our key footwear brands as the fashion-driven products, created by our innovative teams, found considerable appeal with consumers in the affordable luxury space.”
The firm said Frye, the boot brand it outright owns, made “considerable” progress “engaging consumers on a deeper level across multiple channels, and showed continued growth on the direct to consumer front.”
Global Brands opened four additional Frye stores in the U.S. in 2015, on top of its four stores already in operation in the country. It also launched a revamped e- commerce website for Frye and introduced a new and broader range of products, including handbags.