Globe announce modest profits

Melbourne-based street and skatewear manufacturer Globe International has reported a net profit after tax of $5.3 million for the year ended June 30, 2005.
Chief executive officer Matt Hill ("It was anticipated that this year's result would be adversely impacted by the considerable investment that was taking place into strengthening and supporting our brands," said Hill.
"Much of the sales growth that we achieved over the previous 12 months has been directed back into significant marketing initiatives designed to ensure long term growth."
Australasian sales during the period increased by eight per cent to $110.8 million while sales in North America and Europe lifted by 23.4 and 9.7 per cent respectively.
"The investment in marketing ahead of sales has been an important factor in successfully re-establishing brand credentials," said Hill.
"Significant marketing successes such as Globe World Cup skateboarding, the signing of the Hobgood's in surf and Mark Appleyard in skate and the outstanding success of the Globe WCT surfing event have all contributed towards a solid foundation for improved sales and profit growth."