Gymboree Corp., a well-known children's apparel maker, has announced the financial results for the fourth quarter reporting 13 per cent rise in its net profit due to increased sales and margins. Its strong performance for the quarter indicates the strong economic fundamentals and the degree of trust enjoyed by the company among the customers.

Meanwhile, the shares of the company surged 2.8 per cent in response to its robust performance for the quarter. The firm hopes first-quarter earnings of 90 cents to 94 cents a share in lines with the projections made by Thomson Reuters.

The company has also signed a franchise deal with a subsidiary of Lebanon-based Azadea Group Holding SAL in a bid to expand its operations in the Middle-East market by introducing new brand. Azadea has significant presence in the Middle East region with its 350 stores representing over 30 brands of international level.

The firm though reported higher sales for the quarter, but sales at some stores reduced to mid single digit due to global financial crisis. Company's profit for the quarter ended January 30 stood at $33.2 million led by 4 per cent jump in the retail operations during the period.