Sequential Weighs Selling Five Brands
Sequential Brands Group is weighing its options, including a potential sale of five brands, as it sharpens focus on its better-performing businesses including the Martha Stewart and Gaiam brands, company executives told analysts. Sequential took a $36.5 million charge in Q3 ended Sept. 30 tied to the five brands — Revo (eyewear), The Franklin Mint (coins, jewelry), Caribbean Joe (luggage, swimwear), Ful (bags, backpacks) and Nevados (hiking boots) -– which account for 3% of the company’s annual revenue. As a result of the charge, Sequential swung to a $24.1 million Q1 loss from a $3.3 million profit a year earlier as revenue dropped 7.1% to $39 million.
Contact: Sequential Brands Group, Gary Klein, Chief Financial Officer, 646.564.2577