Maidenform Brands cuts 2012 profit view as Sandy, weak Europe hurt sales
(Reuters) - Lingerie maker Maidenform Brands Inc MFB.N cut its full-year profit estimate for the second time this year, citing continued weak demand in Europe and superstorm Sandy, though third-quarter profit came in slightly above market estimates.
The company, which sells brands such as Flexees, Lilyette and Sweet Nothings in addition to its namesake line, cut its per-share earnings estimate for the year to between $1.39 and $1.44 from between $1.50 and $1.60.
Maidenform expects to face the impact of global economic challenges and increased competition for the rest of the year, Chief Executive Maurice Reznik said in a statement.
Last month, the company's rival Hanesbrands Inc (HBI.N) raised the low end of its full-year profit forecast, saying it expects significantly lower cotton costs during the rest of the year.
Maidenform, which also competes with Limited Brands Inc's LTD.N Victoria's Secret, said third-quarter profit rose to $10.7 million, or 46 cents per share, from $10.2 million, or 44 cents per share, a year ago.
Revenue rose 1 percent to $150.2 million.
Analysts on average were expecting a profit of 45 cents on revenue of $158.30 million, according to Thomson Reuters I/B/E/S.
Shares of the Iselin, New Jersey-based company closed at $18.77 on the New York Stock Exchange on Tuesday.
(Reporting by Juhi Arora and Maria Ajit Thomas in Bangalore; Editing by Sreejiraj Eluvangal)
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