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Sequential Brands narrows losses in Q3

Published
today Nov 8, 2018
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NYC-based Sequential Brands, the parent company of brands like William Rast, Martha Stewart and Jessica Simpson, reported revenue of $41.2 million and a net loss of $9.3 million in the third quarter ended September 30, 2018.

Sequential Brands yoga brand Gaiam - Facebook: Gaiam

 
As of January 1, 2018, Sequential began using a new revenue recognition standard, ASC 606, but also provided income and earnings information in accordance with the prior year’s standard (ASC 605) for the purposes of comparison.
 
Under the previous revenue recognition standard, revenue for the third quarter would have been $40.8 million, still up from the same prior year period of $39 million.

Net loss narrowed ti $9.6 million or $0.15 per diluted share, compared to the net loss of $24.2 million or $0.38 per diluted share in the third quarter 2017. 
 
“Our third quarter results reflect the progress we’ve made against our strategic initiatives to position our brands for long-term growth,” said Karen Murray, CEO of Sequential Brands Group, in a news statement. 
 
“We’ve recently signed several exciting partnerships across our portfolio including a new fashion license for the Martha Stewart brand, and a long-term extension for Jessica Simpson’s core footwear business. We are encouraged by the momentum across our business as we head into the new year, and our strong pipeline of new licenses.”   
 
Most recently, the group also signed a multi-year deal with Chinese sportswear manufacturer Beiying Sports Technology Co. to take its sportswear brand Avia to China. 
 
It also appointed Karen Castellano as president of the company’s fashion division. 

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