Iconix Q1 sales decline 15 percent

For the first quarter of 2021, total revenue at Iconix Brand Group was 23.6 million dollars, a decrease of 15 percent.

Commenting on the results, Bob Galvin, the company’s CEO said: “While we and our licensees continue to deal with many pandemic-related challenges, we have continued to focus on realizing the opportunity that exists for our brands through building our pipeline of future business. Year to date, we have signed 93 license agreements representing 47 million dollars of aggregate minimum royalties over the life of these contracts. This represents a 127 percent increase in the numbers of deals signed versus last year to date and a 98 percent increase in the amount of minimum royalties.”

The company said that 41 percent decrease in revenue in the women’s segment was principally as a result of a decrease in licensing revenue from Mudd, Candies and Joe Boxer brands partially offset by an increase in Danskin brand.

Revenue from the men’s segment decreased 17 percent mainly due to a decrease in licensing revenue from Buffalo brand. Sales in home segment decreased by 22 percent principally due to a decrease in licensing revenue from Fieldcrest brand. The company’s international segment revenue improved 2 percent due to an increase in licensing revenue in Europe.

Operating income for the first quarter was 25.3 million dollars compared to operating loss of 4.9 million dollars for the first quarter of 2020. Adjusted EBITDA was 11.9 million dollars, which represents operating income of 25.3 million dollars.

GAAP net income loss attributable to Iconix was 4.2 million dollars compared to a net loss of 21.8 million dollars for the first quarter of 2020. GAAP diluted EPS was 26 cents per share compared to a loss of 1.89 dollars per share for the first quarter of 2020.