Reporting a strong start to its new fiscal year, Mizuno’s net income for the June quarter increased 33% to a record ¥4,670 million ($34.0 mm) from ¥3,505 million, as revenues grew by 24% to ¥57,176 million ($416.1 mm) from ¥46,194 million. Gross margins were pressured, however, narrowing 220 basis points to 40.0%. SG&A was just 12% higher, leveraging 340 b.p. on the sales improvement. Full-year guidance remains unchanged, forecasting revenue of ¥225,000 million and net income of ¥11,000 million.

The Japanese sportswear brand’s home market could only muster 10% growth to ¥32.6 ... Log in to view full article.