Perry Ellis Profit Tumbles, But Beats Forecasts

MIAMI (AP) — Apparel maker Perry Ellis International Inc. said Thursday that its profit tumbled 36 percent in its fiscal first quarter, but the results beat Wall Street's expectations and its shares surged.

Perry Ellis shares jumped $1.29, or 18.9 percent, to $8.10 in afternoon trading. The stock has traded between $3.31 and $28.50 during the past 52 weeks.

For the quarter that ended May 2, Perry Ellis earned $5.8 million, or 46 cents per share. That's down from $9.1 million, or 60 cents per share, a year earlier.

The company's revenue dropped 10 percent to $220 million from $243.5 million.

Analysts polled by Thomson Reuters forecast a profit of 23 cents per share on revenue of $207.5 million.

The company said some underperforming businesses showed some improvement during the quarter, namely its Laundry by Shelli Segal brand, Perry Ellis retail outlets and U.K. business.

"We remain focused on improving the performance of those businesses challenged during fiscal 2009," said President and Chief Operating Officer Oscar Feldenkreis in a statement. "The cost reduction efforts we implemented last year are proving successful in bringing these platforms back to profitability. We are particularly encouraged by our Perry Ellis retail performance this past quarter."