Mossimo, Inc. reported total net revenues for the first quarter ended March 31, 2005 of $8.7 million, an increase of 40.3% compared to $6.2 million for the same period last year. The company reported first quarter net earnings rose 50% to $1.8 million compared to net earnings of $1.2 million for the same period last year, and diluted earnings per share of 12 cents compared to diluted earnings per share of 8 cents for the same period last year. Pre-tax net earnings were $3.0 million, or 20 cemts per diluted share in the first quarter of 2005, compared to pre-tax net earnings of $2.0 million, or 13 cents per diluted share in the first quarter of 2004.
Edwin Lewis, president and co-chief executive officer stated, “Our results for the first quarter were primarily driven by improvements in our Target business, partially offset by challenges at Modern Amusement and Zellers. We are working hard to fine-tune our merchandising and distribution strategies and we remain focused on executing our business plan.”
MOSSIMO, INC.
CONDENSED / CONSOLIDATED STATEMENTS OF EARNINGS
(In thousands, except per share data)
Unaudited
For The Three Months
Ended March 31,
2005 2004
Revenue from license royalties
and design service fees $ 7,354 $ 6,223
Product Sales 1,310 -
Total Revenues 8,664 6,223
Operating Expenses:
Cost of product sales 1,038 -
Selling, general and administrative 4,575 4,213
Settlement costs of disputed commissions - -
Total Operating Expenses 5,613 4,213
Operating Income 3,051 2,010
Other (income) expense:
Other, net - -
Interest Income (30) (27)
Interest Expense - -
Other (income) expense, net (30) (27)
Income before income taxes 3,081 2,037
Income tax expense (benefit) 1,260 930
Net income $ 1,821 $ 1,190
Net earnings per common share:
Basic $ 0.12 $ 0.08
Diluted ------- $ 0.08
