Cherokee Q2 revenues rise 17 percent

REPORT_ Cherokee Global Brands reported financial results for the second quarter with revenue increase of 17 percent to 8.8 million dollars

for the period ending August 2, 2014. Company has attributed the increase in revenues to the recent Tony Hawk signature brand acquisition and continued organic growth of the Cherokee Brand internationally.

Net income totaled 2.3 million dollars, or 0.27 dollars per diluted share, compared with 1.9 million dollars, or 0.23 dollars per diluted share, in the prior year period. For the six months ended August 2, 2014 net income totaled 5.8 million dollars, or 0.69 dollars per diluted share, compared with 3.6 million dollars, or 0.42 dollars per diluted share, in the prior year period.

“We are very pleased with our top- and bottom-line results for the first-half of fiscal 2015,” said Cherokee Chief Executive Officer, Henry Stupp, adding, “Cherokee Brand revenues for our key global partners in Asia (Nishimatsuya and RT Mart), Latin America (Comercial Mexicana and Tottus/Falabella), and Canada (Target) have all continued to perform solidly as well as our Liz Lange brand on HSN.”

“We fully expect the second half of fiscal 2015 will continue to show positive developments for Cherokee Global Brands through the execution of our strategic growth plan including the identification of new brand acquisitions and organic growth geographically as well as via category expansion of our existing brands. The Board has decided, following our upcoming September 15 dividend payment, to discontinue paying cash dividends. Instead, the Company plans on reinvesting the funds from operations to further our growth strategy, rapidly pay down debt and acquire new brands,” he added.