Wolverine Worldwide reports year-end earnings drop to $80.6M
The fourth quarter of FY2012 was a loss for Wolverine Worldwide (NYSE: WWW) — due to non-recurring acquisition costs on the huge PLG deal last fall — but management of the Rockford footwear company says it was still a “solid performance in a challenging global environment.”
Consolidated full-year revenue increased by more than 16 percent to $1.64 billion, reflecting the addition of more than $219 million from PLG in the “stub period” after the acquisition.
Net earnings for the year, which ended Dec. 29, were $80.6 million, compared to $123.2 million in 2011.
The net loss attributable to Wolverine in the fourth quarter was $3.72 million, or 8 cents per share, compared to profit of $23 million or 47 cents per share in the fourth quarter of 2011.
Excluding the PLG transaction and integration costs, the net earnings for the quarter would have been 48 cents per share.
“Fiscal 2012 was a milestone year — the third consecutive year of record revenue and the completion of the transformational acquisition of the four PLG brands,” said Blake W. Krueger, chairman and CEO. “With continued successful execution of global growth initiatives and expansion of our direct-to-consumer platform, we delivered solid performance in a challenging global environment.
"The U.S. market proved to be an important contributor to our consolidated performance in 2012, with many brands growing at a double-digit pace in the company’s most significant market, helping offset the year-long headwinds in Europe and, to a lesser extent, Canada,” he said.
With the addition of the Sperry Top-Sider, Saucony, Stride Rite and Keds brands, Wolverine now sells 16 brands — totaling more than 100 million pairs of footwear — in about 200 countries and territories around the world.
Krueger said 2012 was “the most transformative year” in the company’s almost 130-year history, because of the PLG acquisition, which “nearly doubled size of the company.”