Collective Brands Inc. posted on Wednesday a 47 percent drop in third-quarter earnings, including certain expenses, on a decline in net sales.
Net earnings attributable to Collective Brands were $36.9 million, or 57 cents a diluted share, compared with $47.5 million, or 74 cents, the prior year.
Excluding certain items, Collective said adjusted earnings were $39.4 million, or 61 cents, up from $26 million, or 41 cents, a year ago. The firm said adjustments in the latest quarter were related the settlement of certain litigation and severance.
Net sales dipped 5 percent to $867 million from $862.7 million. Comparable-store sales rose 3.1 percent, with comps from the Payless ShoeSource division’s domestic business up 5.4 percent.
“At Payless, we had strong children’s results that produced a successful back-to-school season, and we had a strong boot performance as well,” Matt Rubel, chairman, president and CEO of Collective Brands, said in a company statement. “Saucony and Sperry Top-Sider also showed continued strength. Across Collective Brands, we delivered on our customer promise with innovative and fresh product, outstanding customer service, effective marketing and efficient merchandise flow, all of which led to strong results.”