DULUTH, Ga- Delta Apparel, Inc. (NYSE American : DLA), one of the leading providers of activewear and lifestyle apparel as well as on-demand digital printing strategies, has announced its financial results for fiscal year 2023’s second quarter. April 1, 2023.
Chairman and Chief Executive Officer Robert W. Humphreys “Our second quarter performance highlights durability and inherent benefits in our multimarket strategy during irregular demand cycles,” commented a spokesperson. We saw double-digit increases in sales across three of five of our go-to market channels. Our strength was also seen where we provided decorated “consumer ready” products close to or directly to end users.
Our Salt Life division continues to capitalize off the popularity of its lifestyle brands domestically as well as internationally. We achieved record sales during the first quarter. Salt Life’s growth included double-digit growth across its branded channels, including retail and eCommerce. It also saw healthy growth in wholesale. Salt Life has also increased the scope of its licensing portfolio with a new partnership that will generate future royalty revenues in the multibillion dollar home furnishings market.
The following are some of the ways to improve your own ability to speak. DTG2Go During the third quarter, the business continued to grow at a high rate with a topline increase of nearly 20% over the previous year. We continue to see digital print have a multi-decade runway of growth as players in traditional decorated clothing markets recognize its speed to customer and other benefits. In the current environment of high interest rates, on-demand strategies are more beneficial in terms of reducing inventory.
The clothing market is still dynamic. Delta Direct and Global Brands Retail Direct saw double digit sales growth during the quarter, despite the impact of the well-publicized inventory levels and slower demand within the supply chain they serve.
Mr. Humphreys “We are focused on managing our cash flow, reducing our inventory, and maximizing the opportunities within our company to produce ‘consumer-ready’ products with higher margins and faster turnaround times.” Implementing these initiatives, and clearing out the remaining high-priced cotton inventory from last year will help us achieve better operating results in the second half. We’ll also be able to take advantage of any accelerations in demand.
The second quarter ended April 1, 2023:
Net sales $110.3 Million Comparing the second quarter net sales to that of the prior year $317 Million. Salt Life Group segment net sales grew over 16% to $9.0 Million From the second quarter net sales of $16.4 Million. Net sales Delta Group Segment $91.3 million Comparatively $115.3 Million In the second quarter of the previous year.
Gross margins decreased to 14.7% from 25.5% the previous year due to production reductions to match output with demand, as well as rising cotton and raw material prices.
Selling, general, and administrative expenses (SG&A) were $9.3 Million, or 17.5%, of sales compared to $9.7 Million, or 15% of sales, for the second quarter in the previous year. The increase in SG&A as a percentage of sales was driven by the further expansion of Salt Life’s branded retail store footprint and the deleveraging effect of overall lower sales relative to the prior year period.
Operating income has declined from $14.3 MillionThe operating loss was. or 10.9%, or. $5.4 millionThe sales tax is (4.9%).
The net income decreased from $10.1 MillionOr $1.44 Loss per share diluted, equal to $7 Million($1.00) per diluted share.
Net Inventory as of April 1, 2023The’was $243.2 MillionA sequential decrease in $15.7 million The following is a list of the most recent and relevant articles. December 2022 A year-over-year rise of $55.5 Million The following is a list of the most recent and relevant articles. March 2022. The decline in December 2022 This was primarily due to efforts to control inventory levels by reducing production to match output with demand.
Total net debt including capital lease financing, cash on hand and total liabilities was $94.3 Million As of April 1, 2023Increased. 9 1 Million dollars The following is a list of the most recent and relevant articles. December 2022 You can also find out more about the following: $40.9 million The following is a list of the most recent and relevant articles. March 2022. Cash available and cash on hand under the Company’s Terms of Business U.S. Revolving credit facility total $12.8 Million As of April 1, 2023The decrease of $14 Million The following is a list of the most recent and relevant articles. December 2022 You can also find out more about the following: $22.4 million The following is a list of the most recent and relevant articles. March 2022The decrease in the price of. December 2022 Investments in the business are primarily responsible for supporting working capital requirements.
The Company spent about Two Million Dollars Comparing capital expenditures for the second quarter to $10,5 Million The second quarter expenditures were primarily focused on Salt Life’s retail store builds-outs, facility, information technology, and manufacturing improvements.
Conference Call
After the closing of the market May 4, 2023Results for the Company’s second quarter fiscal year ended 2023 April 1, 2023The upcoming release of. 4:30 p.m. ETThe senior management of the Company will host a conference to discuss financial results and its business outlook. You can join the conference call by dialing (888) 886-7786. Calling from outside The United StatesPlease dial 416-764 8658. A live webcast of the conference call will be available at www.deltaapparelinc.com. Visit the website 15 minutes before the webcast to download the necessary software and register. You can listen to the replay through June 4, 2023. Participants can access the replay by dialing toll-free at 844-512-3021. Callers from abroad should dial 412-317-6671. The access code to the replay is: 06112508.
The following is a list of the most recent articles about Delta Apparel, Inc.
Delta Apparel, Inc.Together with its operating subsidiary DTG2Go, LLC, Salt Life, LLC. M.J. Soffe, LLC, is a vertically-integrated, international apparel company that designs, manufactures, sources, and markets a diverse portfolio of core activewear and lifestyle apparel products under the primary brands of Salt Life, Soffe, and Delta. The Company is the market leader in direct-to garment digital print and fulfillment, with proprietary technologies. DTG2Go Supply chains can benefit from technology and innovation. The Company sells casual and athletic products via a variety distribution channels, including mass merchants, e-retailers and online retailers. U.S. It also offers ecommerce services for business-to-business transactions. Direct-to-consumer products are available on www.saltlife.com, www.soffe.com, and www.deltaapparel.com. The company also has branded retail outlets. The Company has operations throughout The United States, Honduras, El Salvador. MexicoApproximately 7,000 employees work for the company worldwide. Additional information about the Company is available at www.deltaapparelinc.com.
Cautionary note regarding forward-looking statements
This press release could contain forward-looking statements which are subject to risk and uncertainty. There are many factors that could cause the actual results of a project to differ from what was anticipated or forecasted. This includes, but is not limited to: U.S. Our ability, in order to achieve the expected profitability from acquisitions, will be affected by the following factors: changes in global economic conditions and our ability, in order to comply with international trade regulations, changes to Securities and Exchange Commission As updated in our subsequent Quarterly Reports on the Form 10-Q. Except where required by law Delta Apparel, Inc. The company expressly disclaims all responsibility for updating these forward-looking statement to reflect changes in events or circumstances that have occurred after the date of the press release, or to reflect unexpected events.
See the full press release:
https://ir.deltaapparelinc.com/press-releases/detail/371/delta-apparel-reports-second-quarter-fiscal-2023-results
Contact Company:
Justin Grow 864-232-5200 Ext.
[email protected]
Investor Relations and Media contact:
ICR, Inc.
Investors:
Tom Filandro, 646-277-1235
Media:
Jessica Liddell, 203-682-8208
[email protected]
Source: Delta Apparel, Inc.