Huntington Beach-based Quiksilver Inc.’s forecast for the 12 months through October could be tough for the apparel and sports gear maker to meet, an analyst said Friday.
The company faces competition and high costs that stand to impact profits, said Mitch Kummetz of Robert W. Baird & Co.
“We still believe this is a tall order for Quiksilver,” Kummetz wrote in a report.
On Thursday, Quiksilver reported results for the quarter ended July 31. The company met estimates with a loss and also came in with better-than-expected sales.
For the 12 months through October, Quiksilver said it expects sales of $2.5 billion and profits of about $66 million.
Quiksilver has a lot of balls in the air that could factor into whether it meets its yearly outlook.
In June, the company said it could sell off skis and golf clubs acquired in 2005’s buy of France’s Skis Rossignol SA, while keeping the Rossignol name for clothes.
Rossignol, which was struggling before Quiksilver bought it, has brought unpredictable results for the company.
On Thursday, Quiksilver said it plans to come out with a line of women’s clothes under its Quiksilver brand. The company already makes the top line of surf-inspired clothes with its Roxy line.
