Palladium acquisition boosts K-Swiss 3Q results

WESTLAKE VILLAGE, Calif. - Athletic footwear maker K-Swiss Inc. said Wednesday it swung to a third-quarter loss, but results beat expectations, helped by the acquisition of French shoe company Palladium SAS.

The company's quarterly loss totaled $100,000, or break-even per share, compared with profit of $12.8 million, or 36 cents per share last year.

Revenue fell 11 percent to $95.8 million from $107.2 million a year ago.

Analysts polled by Thomson Reuters, on average, predicted a loss of 9 cents per share on revenue of $72.9 million.

The Westlake Village, Calif.-based company acquired Palladium in July and included its sales of $9.9 million in its revenue.

Unfulfilled worldwide orders with ship dates from October 2008 through March 2009 fell 29 percent to $102.8 million, from $145 million a year ago.

The company also raised its forecast for the year, boosted by the Palladium acquisition, but added that excluding the acquisition, results and order trends confirm a "deteriorating global outlook" for the company in 2008 and 2009.

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