Iconix Q4 profit up 23%; partners with Reliance to expand in India

New York City -- Iconix Brand Group reported that its fourth-quarter net income rose 23% on increased sales. The company also announced it was forming a joint venture with Reliance Brands Limited, a part of the Reliance Industries Group, to expand in India. Iconix currently has other similar partnerships in Greater China, Europe and Latin America.



Iconix said its net income totaled $27.2 million in the three months ended Dec. 31, up from $22.1 million in the year-ago period. Revenue rose 8.5% to $95.5 million, from $88 million.



The new joint venture will own the fashion and home brands from the Iconix portfolio for the Indian territory. The Iconix portfolio includes iconic brands such as Ed Hardy, Mossimo, London Fog and Ocean Pacific.



The new joint venture, which will be based in Mumbai, will follow a similar business model to that of Iconix in North America, which focuses on growing royalty revenue through existing and new licensing agreements with both manufacturers and retailers, while providing marketing and brand management services. Existing Iconix business in India will also be rolled into the partnership.



"With this new partnership in place, and together with our existing global partnerships in other regions, we are on our way to achieving our long-term goal of growing international revenue to a third of our total business,” said Neil Cole, chairman and CEO of Iconix Brand Group.