Liz Claiborne net sales go up 3% for full year 2006
01 Mar '07
4 min read
Liz Claiborne Inc announced diluted earnings per share (EPS) of $0.71 for the fourth quarter 2006 compared to diluted EPS of $0.74 for the fourth quarter 2005. Net sales for the fourth quarter 2006 were $1.329 billion, an increase of 10.8% from the comparable 2005 period.
Adjusted diluted EPS for the fourth quarter 2006 were $0.94. These results are in line with the Company's previously announced adjusted diluted EPS guidance of $0.94 - $0.99 and are adjusted to exclude the impact of a $0.23 reduction in EPS associated with the expenses resulting from the Company's previously announced plans to streamline its operations and redeploy resources to more efficiently manage its multi-brand, multi-channel and multi-geography portfolio.
For the full year 2006, diluted EPS were $2.46 compared to diluted EPS of $2.94 for the comparable 2005 period. Net sales for the full year 2006 were $4.994 billion, an increase of 3.0% from the comparable 2005 period.
Adjusted diluted EPS for the full year 2006 were $2.99. These results are adjusted to exclude the impact of a $0.53 reduction in EPS associated with the expenses resulting from the Company's streamlining initiatives.
The Company believes that the adjusted results for the quarter and full year in this release provide a more meaningful comparison of its operational and financial performance. The attached tables, captioned "Reconciliation of Non-GAAP Financial Information", provide a full reconciliationof actual results to the adjusted results.
William L. McComb, Chief Executive Officer of Liz Claiborne, said: "Although the environment was challenging in the fourth quarter, we generated adjusted EPS in line with our previously announced estimates. While net sales grew at a double-digit pace, with strong increases in retail and wholesale non-apparel, operating income was impacted by our streamlining initiatives. Our balance sheet and cash flow remain strong. Our total debt to total capital ratio was 21.8% at year end and we generated $394 million of cash flow from operations in 2006, providing us with significant financial flexibility to pursue multiple strategies to increase shareholder value."
marketing@alchempro.com
