Timberland climbs on results, Madden up on outlook

By Justin Grant

NEW YORK (Reuters) - Timberland Co (TBL.N: Quote, Profile, Research) and Steven Madden Ltd (SHOO.O: Quote, Profile, Research) posted sharply different quarterly results on Thursday, but one stock surged on a surprisingly strong profit, while the other climbed on a sturdy outlook.

Timberland's shares surged more than 13 percent after it reported a better-than-expected quarterly profit as robust demand for casual shoes overshadowed lower boot sales.

The largest U.S. bootmaker said first-quarter profit rose to $18 million, or 30 cents a share, from $9.3 million, or 15 cents a share, a year earlier. Sales rose 1.2 percent to $340.4 million.

Timberland has struggled in recent quarters due to weakening demand for its signature workboots, but the Stratham, New Hampshire-based company was boosted by sales of its SmartWool products and PRO series footwear.

Wall Street analysts had expected Timberland to earn 18 cents a share for the quarter on $314.3 million in sales, according to Reuters Estimates.

"I guess some investors consider the way they articulated some of the new product they're introducing to the market as a way of shoring up the company's overall footwear category," said Susquehanna Financial analyst John Shanley, who has a neutral rating on the stock.

Steven Madden, meanwhile, reported profit that missed Wall Street's expectations, but its shares rose as the company reiterated its 2008 outlook. Investors were also stoked by early indications of improved demand for some of its warmer weather items, Sterne Agee analyst Sam Poser said.

Steven Madden shares were trading up 4 percent in afternoon trading.