NEW YORK (AP) -- Skechers posted a smaller quarterly loss than analysts expected, and its stock rose nearly 7 percent in after-hours trading Wednesday.
The shoe company, based in Manhattan Beach, Calif., said its loss shrank to $1.8 million in the second quarter, down from $29.9 million in the same period of last year. Lower costs played a big role.
On a per share basis, Skechers reported a loss of 4 cents, compared with a loss of 62 cents per share the year before. Analysts forecast a loss of 7 cents per share, according to FactSet.
Sales sank 11 percent to $384 million in the second quarter but still beat the $372.7 million that analysts predicted.
The cost of sales fell 27 percent to $212 million, and operating expenses were down 9 percent to $174 million.
Skechers USA, Inc. has struggled in recent years to compete for customers and shelf space with larger competitors like Nike Inc. and Reebok.
In May, the company agreed to pay $40 million to settle charges by the Federal Trade Commission that it made unfounded claims that its Shape-ups shoes would help people lose weight and build muscles.
Skechers shares jumped $1.23 to $19.50 in after-hours trading. The stock closed down 24 cents at $18.27 in the regular session.
