Revenue during the quarter dropped 13.23 percent to $58.72 million from $67.68 million in the previous year period. Total expenses were 42.76 percent of quarterly revenues, up from 31.63 percent for the same period last year. That has resulted in a contraction of 1114 basis points in operating margin to 57.24 percent.

Operating income for the quarter was $33.61 million, compared with $46.27 million in the previous year period.

John Haugh, chief executive officer of Iconix commented, "Over the past year, we have been focused on two key priorities- improving the balance sheet and driving organic growth. I am pleased to say that with the strategic sale of our entertainment segment, we can significantly reduce our debt and pay down a term loan that is expensive and highly restrictive. Further, we believe we can generate the most value and growth for our Company with a portfolio that is focused on businesses where we believe we have a leadership position- fashion, active and home.

Iconix Brand Group, Inc. expects revenue to be in the range of $235 million to $245 million for financial year 2017. For financial year 2017, the company projects diluted earnings per share to be in the range of $0.29 to $0.44. For financial year 2017, the company projects diluted earnings per share to be in the range of $0.70 to $0.85 on adjusted basis.