Reebok International Ltd., the No. 2 U.S. athletic-shoe maker, said third- quarter profit rose 31 percent as National Football League- licensed clothing boosted sales and the company reduced costs.
Net income rose to $42.2 million, or 66 cents a share, from $32.3 million, or 56 cents, a year earlier, the company said in a statement. Sales rose 7.5 percent to $847.3 million from $787.8 million, the Canton, Massachusetts-based company said.
Seifert Systems Invests in Energy Efficiency to Strengthen Operations
For manufacturers, energy is more than just another operating expense. It plays a critical role…
Learn More
The company began outfitting 26 NFL teams with Reebok-branded apparel in August, boosting the sales of Reebok’s football clothing at retailers. Chief Executive Officer Paul Fireman has cut interest expenses and combined the shoemaker’s human resources, legal and other operations to lower costs.
Sales may be hurt if retailers order less in the wake of last month’s terrorist attacks in the U.S., analysts said.
The company will begin outfit all 32 NFL teams starting next year.
Shares of Reebok rose $1.04 to $22.05 yesterday. They’ve fallen 19 percent this year after being the best-performing stock in the Standard & Poor’s 500 last year.
(Bloomberg)
