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By
Reuters
Published
Sep 2, 2009
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Collective Brands second quarter profit lags Street, shares fall

By
Reuters
Published
Sep 2, 2009

Sept 2 (Reuters) - Footwear retailer Collective Brands Inc (PSS.N) posted a quarterly profit that trailed market expectations, hurt by the expiration of its Tommy Hilfiger adult footwear license and unfavorable foreign currency exchange rates, sending its shares down 6 percent.


Stride Rite from Collective Brands Inc - www.striderite.com

Collective Brands, which is the holding company of Payless ShoeSource, Stride Rite and Collective Licensing International, posted a second-quarter profit of $18.7 million, or 29 cents a share, compared with $8.1 million, or 13 cents a share, a year ago.

Revenue fell 8.3 percent to $836.3 million.

Analysts were expecting earnings of 32 cents a share, before items, on revenue of $840.1 million, according to Reuters Estimates.

Net of store openings, retail store count is expected to decline by 60 this year, the company said.

The company's Payless ShoeSource chain offers fashionable, private and branded-label footwear and accessory products for men, women, and children, while Stride Rite sells children's footwear.

Shares of the Topeka, Kansas-based company were down 97 cents at $14.80 after the bell. They closed at $15.77 Wednesday 2 September on the New York Stock Exchange. (Reporting by Mihir Dalal in Bangalore; Editing by Pradeep Kurup)

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