Surf wear company Billabong International Ltd
(ASX:BBG) has announced a 13.3 per cent drop in full year profit and cut its final dividend.
Net profit for the year to June 30 came to $152.8 million, down from $176.38 million the year before.
The company’s operating net profit which excluded a non-cash impairment charge of $7.4 million, dropped 9.2 per cent to $160.2 million, at the bottom end of its previous forecasts.
Group sales revenue rose 23.9 per cent to $1.67 billion.
CEO Derek O’Neill says given the lack of retailer confidence, the steep slowdown in consumer spending in various global economies and the extreme volatility in exchange rates, the company has emerged in remarkably good shape.
In the absence of any further unforeseen exceptional circumstances impacting the global boardsports market, the group is forecasting reported net profit after tax to be flat for the 2010 financial year.
Billabong declared a final dividend of 18 cents a share down from 28.5 cents last year.
Looking at the past five years, Billabong International’s profits have been gradually rising each year.
