K-Swiss Falls as Forecasts Trail Analysts' Estimates

K-Swiss Inc. (KSWS), the athletic-footwear maker, fell the most in more than three months in Nasdaq trading after the company provided full-year forecasts that trailed analysts' average estimates.

K-Swiss dropped $1.57, or 9.4 percent, to $15.15 as of 4 p.m. New York time in Nasdaq Stock Market trading for the biggest loss since Nov. 6.

The Westlake Village, California-based company forecast 2008 per-share earnings of 10 cents to 35 cents on sales of $310 million to $340 million. That missed the average 91-cent earnings estimate among three analysts surveyed by Bloomberg and the average $388.6 million sales estimate among five.

The 2008 forecasts reflect domestic revenue declines, investments in product development and marketing, international expansion and investment in the Royal Elastics brand, K-Swiss said in a statement today.

The company posted a 94 percent drop in fourth-quarter net income, to $596,000, or 2 cents a share, from $10.7 million, or 30 cents. Sales fell 17 percent to $78.2 million.

K-Swiss shares have fallen 16 percent this year.

To contact the reporter on this story: Meg Tirrell in New York at mtirrell@bloomberg.net.

To contact the editor responsible for this story: Colleen McElroy at cmcelroy@bloomberg.net.

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