Sports lifestyle brand Quiksilver Inc. announced last week that its 2014 third quarter overall net revenues dropped 19 percent from $488 million last year to $396 million. In the U.S. specifically, net revenues decreased 27 percent to $191 million from $261 million.
Wholesale revenues plunged 30 percent to $235 million, however, e-commerce revenues grew 10 percent to $35 million.
Quiksilver president and CEO Andy Mooney said, “As we expected, revenues for the third quarter declined in our wholesale channels in North America and Europe. In addition, late product deliveries, largely the result of our transition to global demand planning, negatively impacted our sales performance and gross margin.
The company’s DC brand saw the most dramatic decrease in revenue, dropping 34 percent from $109 million in 2013 to $57 million in 2014 Q3, followed by Quicksilver which fell 17 percent, and Roxy with a 9 percent downturn.
Mooney said the company aims to resolve its product delivery issues before the holiday season. He added, “We continued to right-size staffing, redeployed our marketing to invest more in media and point of sale, improved the quality of distribution in North America and completed a number of licensing transactions for peripheral product categories. We are encouraged by the positive feedback we have received on our Spring 2015 product lines, both for apparel and footwear.”