Geox Fiscal Year 10 Ebitda Down 13%; Sees Hurdles In '11

Italian shoemaker Geox SpA (GEO.MI) Thursday said its 2010 full-year net profit fell 13% to EUR58 million and predicted rising raw material costs and currency fluctuations will pose challenges in 2011.

The company also posted a worse-than-expected 20% fall in Ebitda -- earnings before interest, taxes, depreciation and amortization.

The company also reduced its dividend to EUR0.18 a share from a EUR0.20 a share dividend on 2009 earnings.

MAIN FACTS:

--Revenues fell 1.7% to EUR850.1 million from EUR865 million posted in 2009.

--Ebitda fell 20% to EUR132.3 million compared to EUR166.4 million in 2009.

--Geox previously forecast a 6% to 8% drop in revenues and a 4% To 5% fall in Ebitda in 2010.

--Company said Spring/Summer 2011 orders backlog has increased 2%.

--Says forex, raw material prices, labor costs in supplier countries could put pressures on margins in the first half of 2011.

-By Sofia Celeste, Dow Jones Newswires, +39 06; [e-mail]