NEW YORK (AP) -- Shoe marketer Wolverine Worldwide Inc. said Monday that its net income fell 13 percent in the first-quarter as sales were hurt by a recessionary climate in the critical European market.
The Rockford, Mich.-based company, which makes Hush Puppies, Merrell and other brands, said it earned $31.2 million, or 64 cents per share, for the three months ended March 24, up from $35.9 million, or 72 cents per share, in the year-ago period.
Analysts on average expected earnings of 55 cents per share, according to FactSet.
Revenue fell to $322.8 million from $330.9 million. The company noted that revenue in last year's quarter had grown by 16 percent. Analysts expected higher revenue of $332.6 million.
Selling, general and administrative expenses rose to $95.2 million from $88.3 million a year ago. Wolverine said increased pension expenses and one-time costs in work force reductions contributed to the increase. The company also repurchased about 65,000 shares in the quarter for a total cost of $2.4 million.
CEO Blake Krueger said the company expects 2012 to a record year, but with most of the growth planned for the second half of the year.
The company raised its full-year earnings per share guidance to a range of $2.70 to $2.80, from the previous guidance of $2.60 and $2.70 per share. Adjusted earnings are expected between $2.75 and $2.85 per share. Analysts on average had expected adjusted earnings of $2.64 per share.
It expects revenue of $1.46 billion to $1.50 billion. Analysts expect revenue of $1.5 billion.
Shares of Wolverine fell $1.27, or 3.4 percent, to $36.62 per share in afternoon trading. Its shares have traded in a 52-week range of $30.77 to $43.36.
Published: Wed, Apr 25, 2012
