SOURCE: Signature Eyewear, Inc.

Signature Eyewear, Inc.

February 02, 2011 13:30 ET

Signature Eyewear, Inc. Reports Profitable Fiscal 2010

LOS ANGELES, CA--(Marketwire - February 2, 2011) - Signature Eyewear, Inc. (OTCBB: SEYE) reported net income of $462,000 on net sales of $20.8 million for its fiscal year ended October 31, 2010. This compares to net income of $675,000 on net sales of $23.3 million in the prior fiscal year. Signature attributed the decrease in net sales during the fiscal year primarily to delivery disruptions by its Chinese vendors and the weak domestic economy. 

The decrease in net income was principally due to the decrease in net sales. The Company was able to offset this in part through an $888,000 reduction in selling expenses and a $601,000 reduction in general and administrative expenses.

Net income for the fourth quarter of fiscal 2010 was $47,000 on net sales of $4.9 million. This was Signature's 24th consecutive profitable fiscal quarter.

Michael Prince, Chief Executive Officer of Signature, stated, "We are pleased to report a profit for the year despite the continuing recession. While the delivery delays by our Chinese vendors adversely impacted our 2010 operating results, we believe those delays are behind us. We have ceased ordering from certain vendors and have revised our ordering schedule to more efficiently balance increased production times with customer demand."

Prince continued, "Signature's challenge for fiscal 2011 is to replace the revenues lost by the expiration of our bebe and Hummer eyewear licenses on June 30, 2010. We took a significant step by establishing the Signature Fashion Group in November 2010. SFG will design, manufacture and market women's footwear and fashion accessories. We will introduce our first women's footwear line, under our own Rough Justice brand, in the spring of this year. Additionally, we have already received purchase orders for delivery in the second quarter from three footwear retailers for private label sales. 

"Our plan for fiscal 2011 also includes increasing our efforts to sell eyewear and sunwear to mid-size retail optical chains, department stores and Internet optical retailers, and developing international sales by expanding into smaller foreign markets. We are launching Bobby Jones Sunwear, Hickey Freeman Eyewear and Rough Justice Eyewear in the late spring of 2011. We are also taking actions to reduce operating expenses to offset as much of the loss of revenue as possible." 

Signature Eyewear is a leading designer and marketer of prescription eyeglass frames and sunglasses under internationally-recognized brand names such as Carmen Marc Valvo, Cutter & Buck, Hart Schaffner Marx, Laura Ashley, Michael Stars, and Nicole Miller. Signature Eyewear's proprietary brands include Dakota Smith Eyewear, the Signature Eyewear Collection and the soon-to-be-launched Rough Justice. Rough Justice footwear and eyewear will be launched in late spring 2011. The Company sells its products worldwide to opticians, optometrists and ophthalmologists, optical retail chains, Internet retailers, department stores and specialty retailers. For information about Signature Eyewear call 1-800-765-EYES or visit the Company's web site at www.seye.com and http://www.roughjustice.com/.

This news release contains forward-looking statements. These statements are based on assumptions that management believes are reasonable based on currently available information, and include statements regarding the intent, belief or current expectations of the Company and its management. Readers are cautioned that any such forward-looking statements are not guarantees of future performance, and are subject to a wide range of business risks, external factors and uncertainties, including increasing market interest rates. Actual results may differ materially from those indicated by such forward-looking statements. For additional information, please consult the Company's most recent public filings and Form 10-K for the year ended October 31, 2010. The Company assumes no obligation to update the information contained in this press release, whether as a result of new information, future events or otherwise.

Contact Information

  • Contact:
    Signature Eyewear
    1.800.765.3937