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Volcom Plunges on Q4 Warning

Shares of Costa Mesa-based clothing designer Volcom Inc. fell nearly 20% in afterhours trading after the company warned about results for the current quarter.

The company, which makes clothes inspired by surfing, other sports and music, said it expects sales of $70 million to $73 million for the fourth quarter, below Wall Street’s expected $82.3 million.

Volcom sees earnings of $7.3 million to $7.8 million, well below the $11.4 million analysts had been expecting.

For the third quarter, Volcom reported sales of $91 million, up 49% from a year earlier. Profits came in at $14.5 million, up 43%.

Both figures beat Wall Street estimates.

For the fourth quarter, Volcom cited caution by retailers amid the slowing economy and slowing sales of jackets and sandals.

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