Quiksilver Inc. postponed its first quarter earnings release scheduled for March 5 pending an investigation of “a revenue cut-off issue” by company directors.
ZQK said management brought the discrepancy to the company's board of directors sometime during the last week of February and that the board's audit committee commenced an investigation last week and has not yet reached any conclusions.
Based on currently available information, the company said it “believes that the completion of the Audit Committee’s investigation will have no material impact on its previously issued financial statements, its 2015 first quarter financial results, or its current guidance.”
Shares of ZQK, which trade at the $8 level a year ago, closed above their 52-week low of $1.48 Thursday.
ZQK anticipates announcing a date for releasing its first quarter 2015 financial results after a previously scheduled March 16 meeting of the board of directors during which the audit committee will review the progress of its investigation.
ZQK's operating earnings before special items fell sharply in its fourth quarter ended Oct. 31 on an 11 percent drop in sales. In currency-neutral terms sales of Quiksilver, Roxy and DC Shoes fell 12, 6 and 14 percent.
