Home / Knowledge / News / Apparel/Garments / Operating income up at Casual Male Retail
Operating income up at Casual Male Retail
28
Nov '11
Casual Male Retail Group Inc., the largest retailer of big & tall men's apparel and accessories, reported operating results for the third quarter and nine months ended October 29, 2011.

Third Quarter Highlights (3QFY11 vs. 3QFY10)
• Comparable sales increased 0.7% against prior year's comparable sales increase of 3.0%
• Operating loss of $1.4 million as compared to operating loss of $0.8 million.
• SG&A expenses include approximately $1.4 million, or $(0.03) per diluted share, for anticipated litigation settlements and incurred legal expenses to date.
• Net loss of $(1.6) million, or $(0.03) per diluted share, compared to net income of $0.3 million, or $0.01 per diluted share.
• Total sales decreased 0.6% to $89.4 million.
• Gross margin decreased 70 basis points (20 basis points in merchandise margin and 50 basis points in occupancy expense) to 45.0% as compared to 45.7% for the prior year.

Nine Month Highlights (2011 vs. 2010)
• Comparable sales increased 2.6% against prior year's comparable sales increase of 0.9%.
• Operating income increased 7.3% to $10.8 million as compared to operating income of $10.1 million for the prior year.
• Net income of $9.2 million, or $0.19 per diluted share, as compared to $10.0 million, or $0.21 per diluted share.
• Total sales increased 1.4% to $286.2 million.
• Gross margin increased 80 basis points to 46.8% as compared to 46.0% for the prior year.

Destination XL
Through the end of the third quarter of fiscal 2011, the Company has opened 7 new DXL stores with an additional 5 stores planned in the fourth quarter of fiscal 2011, resulting in 16 DXL stores opened by the end of fiscal 2011 (a decrease from previous guidance of 20 stores).

In addition, the Company anticipates opening 35-40 (an increase from previous guidance of 25 -30 stores) Destination XL stores in fiscal 2012. Because of the real estate and customer demographics, the size of each store will vary between 6,000 to 12,000 square feet, to accommodate each market.

During the third quarter, the Company introduced its DXL catalog and launched its DXL website. The Company's customers can now shop across all brands and product extensions and the new website brings all of its customers under one brand.

Fiscal 2011 Outlook
As a result of the sales shortfall that the Company experienced during the third quarter of fiscal 2011, the Company has revised its earnings forecast for fiscal 2011. For fiscal 2011, the Company expects earnings to be $0.35 to $0.38 per diluted share. This is a decrease from the Company's previous guidance of $0.40 to $0.45 per diluted share. The Company's revised earnings guidance is as follows:

• Total sales of $397.5 million to $402.5 million (a decrease from previous guidance of $405 - $410 million). Total sales for fiscal 2011 are expected to be lower than our previous guidance due to the decrease in store traffic experienced during the third quarter of fiscal 2011.

Must ReadView All

Courtesy: Myntra

Apparel/Garments | On 3rd Dec 2016

Myntra to be EBITA positive by FY18: CEO Narayanan

Myntra is on track to achieve sustainable growth and be EBITA...

Courtesy: India ITME Society

Textiles | On 3rd Dec 2016

India ITME 2016 opens with over 1050 exhibitors

The India International Textile Machinery Exhibition (India ITME)...

Courtesy: Bruckner

Textiles | On 3rd Dec 2016

Indian textile companies opt for Brückner stenter lines

Indian textile firms Laxmipati Sarees, makers of polyester sarees and ...

Interviews View All

Angelina Francesca Cheang
MY ANJE

'Consumers in the age-group 21 to 38 are driving the activewear trend'

Nitin Soni
Dolphin Jingwei Machines

Taxation policies need to be made simpler

Siddharth Biyani
Mangalam Industries Pvt Ltd

‘The manufacturing sector is improving day-by-day, becoming better in...

Mohammad Hassan
Biax Fiberfilm

About one in every 20 patients picks up an infection while hospitalised....

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer Prathyusha Garimella is known for blending...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
December 2016

December 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


Advanced Search