Bank predicts 4% drop in profit of Sneakers

The volume of sandals sold on the domestic market should grow only 2.7%, due to the strong basis for comparison.
The first quarter for the companies in the sector of "textiles, clothing and Footwear" was not as good as it was for retail in General, since the niche grew 5% in January, in annual bases, and fell 1% in February, while the advanced 5.9% and consolidated fell 0.2%.
This lower-than-average performance should be reflected in the numbers of Sneakers from January to March, which should report net income of r $ 75 million, down 4% in comparison with the same period in 2012, according to Renata Prado projection and Rodrigo Faria, Banco Fator.
To net revenues, the expected increase is 12.3%, depending on the 2.7% increase in the volume of domestic, sandals and 7.9% increase in the average price of products sold.
The expected high volume of sandals, "conservative", ponder the experts, can be explained by the strong advance of 11.1% in the first quarter of the previous year.
In the case of the external market, the advance in sales volume will be 12.6% by estimated factor, driven by an increase of 15% on exports of sandals to Europe and United States, and by 14.4% increase in average price.
The devaluation of the exchange rate in the period impacted positively in the question above.
Analysts reiterated the recommendation for the actions target price ALPA3 $ 15,34 in December, 19.3% appreciation potential against the closing of Eve.