Fossil announces Q3 results, license agreement with adidas-saloman
Fossil Inc., the American company that produces watches, accessories and small leather goods, has reported strong results for the third quarter of 2004. Net sales increased by 22.5% to reach $236.1 million for the quarter compared with $192.6 million for the same period in 2003. Gross profit grew an impressive 25.3% to $121.5 million compared with $97.0 million in Q3 of last year.
For the first nine months of the year, Fossil reported a net sales increase of 22.9% to $641.6 million compared with $522.0 million for the same period in 2003. Gross profit increased 26.4% to $334.2 million from $264.5 million on a year-on-year basis.
The company has also announced that it has entered into a long-term global license agreement with adidas-saloman Group to produce and distribute adidas watches and functional timing products beginning January 2006. This agreement will add a sports performance component to Fossil’s business.
“The adidas sport brand fits our company directives perfectly, providing us a world recognised brand in an increasingly important sport category. Utilising our worldwide infrastructure in design, sourcing, marketing, and distribution should enable the accelerated growth of adidas timing sales bringing the right product to a worldwide market in a timely and efficient manner,” said Mike Barnes, president of international sales at Fossil.
