Columbia Sportswear's 3Q profit down 15 pct.

Columbia Sportswear's 3Q profit down 15 pct, weighed down by tax rate

Associated Press

NEW YORK (AP) -- NEWS: Columbia Sportswear Co. reported a 15 percent drop in third-quarter net income as the clothing company's profits were weighed down by a higher tax rate. Still, results beat Wall Street expectations.

The company, based in Portland, Ore., also approved a 14 percent increase in its dividend, to 25 cents.

NUMBERS: The company posted net income of $54.6 million, or $1.57 per share in the three-month period ended Sept. 30. That compares with $64.4 million, or $1.88 per share in the year-ago period. The company said that a higher effective tax rate in the quarter accounted for $2.2 million of the decline.

Revenue fell 4 percent to $523 million.

Analysts expected $1.42 per share on revenue of $513.7 million, according to FactSet.

FUTURE: Columbia Sportswear expects sales to drop up to 2 percent in the current quarter, suggesting revenue of $491 million. Analysts forecast $491.8 million.

STOCK: Shares were up nearly 4 percent, or $2.27 to close at $65.11. They added 44 cents to $65.55 in after-market trading.

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