Sponsors
Billabong ▼ -0.005 | PPR ▼ -2.30 | American Apparel ▼ -0.015 | The Buckle ▼ -0.04 | Columbia ▼ -0.63 | Deckers Outdoor ▼ -0.38 | Dicks ▲ +0.20 | Foot Locker ▼ -0.67 | Genesco ▼ -0.03 | Iconix Brand Group ▲ +0.21 | Jarden Corp ▼ -0.34 | Nordstrom ▼ -0.12 | Luxottica ▲ +0.26 | Nike ▲ +0.31 | Pacific Sunwear ▼ -0.01 | Skullcandy ▲ +0.33 | Sport Chalet - 0 | Urban Outfitters ▼ -0.60 | VF Corp ▼ -0.13 | Quiksilver ▼ -0.06 | Zumiez ▲ +0.04 | Macys ▲ +0.39 | Tillys ▲ +0.22 |
Readers Say
Always a good daily read
Always a good daily read

Shop-Eat-Surf creates a good source of timely information about the industry. The site makes all types and size companies feel part of a community where everyone is stoked to hear about other companies successes and ideas. It is always a good daily read.

- By Ted Li, VP of North America, Oakley
Keeps me in the loop
Keeps me in the loop

Being an Executive Edition member allows me to not miss a beat when it comes to the Industry business news. Definitely keeps me in the loop plus goes great with my morning joe.

- By Tony Perez, Surfer and Surfing magazines
Industry Insight

CFA, WELLS FARGO: Invitation to next "Crystal Ball" breakfast session, "Private Label vs Branded Manufacturing."

STOKES ME: SIMA Humanitarian Fund campaign kicks off this week with "Add-A-Buck" promotions in 76 core-store doors.

Details on Industry Insight.


Tiffany Montgomery
Print This Article

Skullcandy's Q1 sales, net income surge

By Tiffany Montgomery
June 06, 2011 8:36 AM

Skullcandy’s first quarter sales surged 65.9% to $36 million, according to documents the company filed with the SEC.

 

Net income increased 237.5%.

 

The sales increase was driven by a $4.9 million increase in international sales and a $4 million increase in sales to large customers such as Best Buy and Target, and increased sales to existing retailers. Online sales grew by $2 million during the period.

 

Best Buy and Target each accounted for more than 10% of total company sales in the first quarter and in 2010, the company said in filings.

 

Domestic sales increased 50.3% to $28.4 million during the quarter compared to the same period last year. Domestic sales accounted for 78.9% of sales during Q1 2011.

 

International sales, namely to Europe and Canada, rose 175% to $7.6 million. Skullcandy has resolved a dispute with its European distributor, 57 North, which led to the increase in sales. That distribution agreement ends in 2013.

 

SG&A rose 89.5% to $14.4 million due to increased payroll to support growth, and an increase in marketing spending on in-store displays and advertising, and increased spending for trade shows and events.

 

As a percentage of net sales, SG&A reached 40% vs. 35% in the same period last year.

 

Net income totaled $1.1 million during the period compared with a net loss of $801,000 in Q1 2010.

 

EBITDA more than doubled to $4.2 million from $2 million during the same period last year.

 

Skullcandy is in the process of becoming a publicly traded company and now files financial results with the SEC.

 

 


Articles You Might Have Missed