PROFIT WHITEWASH FOR BILLABONG

Written on the 4 March 2011

PROFIT WHITEWASH FOR BILLABONG

BILLABONG International has reported half year profit (NPAT) of $57.2 million - down 18 per cent on last year’s $69.7 million.

The strength of the Aussie dollar against the Euro and the $USD had a significant adverse impact on the company – eroding almost $50 million off revenues and $6 million off profit. Earnings per share of 22.8 cents were down 18.3 per cent.

The Gold Coast’s largest company, with market cap exceeding $2 billion, had sales revenues of $834.9 million – up 15.8 per cent compared with the corresponding period last year. Revenues in the key markets of the Americas were $408.4 million, up 38.2 per cent.

CEO Derek O’Neill, in a statement to the ASX, attributed the result to a ‘very weak’ retail environment in Australia, combined with the initial dilutive impact of recent acquisitions of Australian retailers SDS/Jetty Surf and Rush Surf, whose results are yet to reflect the benefit of the buy.

The surfing apparel and hardware giant continued to invest in major boardsport-inspired events and athletes. Key marketing initiatives included the hosting of the Billabong Pro World Championship Tour surfing events in South Africa and Tahiti and the Billabong Pipeline Masters in Hawaii, along with the World Junior Championships in Australia.

The company views the 2010-11 financial year as a transition year, with the strong sales revenue growth in the first half. It expects full FY revenues of $1.7 billion.

Shares remained flat today at $8.00.

Don’t miss the full interview with Billabong CEO Derek O’Neill in the March edition of Gold Coast Business News, where the city’s top companies will be revealed.


Latest News

FLYING START TO 2017 PASSENGER NUMBERS FOR GOLD COAST AIRPORT

RECORD numbers of travellers used the Gold Coast Airport (GCA) in January this year, continuing a five-year trend ...

SUNCORP SAYS IT'S 'COVERED' AGAINST FINANCIAL COST OF CYCLONE DEBBIE

INSURER Suncorp (ASX: SUN) says it is "well protected" against the financial impact of Cyclone Debbie th...

ADELAIDE DIGITAL MARKETING GURUS CHANGING THE FACE OF ONLINE RETAILING

Frank Grasso, CEO of Adelaide based Dynamic Creative, believes his company's new software will revolutionise Adwo...

WHY A JUNIOR MINER DECIDED TO JOIN THE RANKS OF THE HOT POT STOCKS

USUALLY, when a relatively unknown explorer experiences a sharp spike in its share price, it means they've fou...

Related News

RAY OF HOPE FOR SLATER AND GORDON AS LENDERS STEP IN

EMBATTLED law firm Slater and Gordon (ASX: SGH) has announced to the ASX that it has launched confidential discussion...

SPROUTX PROVIDES THE SEED FOR AGTECH STARTUPS

AGTECH innovation fund SproutX has opened applications for its first accelerator round, backed by $10 million from...

GAS PRICES MAY FORCE BRICKWORKS TO TAKE MANUFACTURING OVERSEAS

BRICKWORKS Limited (ASX:BKW) chairman Robert Millner says soaring energy prices may force the company to turn to offs...

CHINA CONTINUES TO COLLECT AUSSIE PROPERTY ASSETS

CHINESE coin continues to dominate Australia's offshore real estate investment market, accounting for almost h...

EVENTS COMING UP

 

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter