Home / Knowledge / News / Apparel/Garments / Delta Apparel revises guidance for fiscal 2012
Delta Apparel revises guidance for fiscal 2012
13
Jan '12
Delta Apparel Inc announced that, due to record high cotton prices combined with selling price discounts, the Company will take a one-time markdown of inventory of approximately $16 million in its fiscal 2012 second quarter, which will be reported on January 26, 2012. The action affects only the Company's inventory of basic undecorated t-shirts and will negatively impact second quarter earnings by approximately $1.20 per share.

Second quarter 2012 results also have been negatively affected by lower sales volume in branded products due to price increases to retailers that resulted in somewhat reduced demand. Revenue for the second quarter is expected to be approximately $105 million versus $104.6 million for the prior year's second quarter. Due to the above mentioned factors, the Company anticipates a loss in the 2012 second quarter in the range of $1.58 to $1.62 per share versus earnings in the comparable prior year quarter of $0.16 per share.

Robert W. Humphreys, Delta Apparel's Chairman and Chief Executive Officer, said “The Company is taking the entire amount of the markdown in the second quarter to put it cleanly behind us, giving us the rest of the year to focus on our goals for 2012 and 2013. This action, along with the effect of lower selling prices in the second quarter, will reduce our guidance for our full 2012 fiscal year. We now anticipate that 2012 revenue will be in the $480 million to $500 million range and that earnings will be in the range of $0.50 to $0.60 per diluted share for the year.”

“While we continue to view the volatile cotton market as a risk, we believe we have taken the appropriate action for the immediate term. We will continue to work on ways to leverage our costs and adjust our price structure to best benefit the Company in the long term,” Mr. Humphreys said.

Delta Apparel Inc

Must ReadView All

Textiles | On 29th Apr 2017

Slight drop in Unifi 2017 Q3 sales

The net sales of Unifi Inc., one of the world's leading innovators in ...

Apparel/Garments | On 29th Apr 2017

US retail operating growth to be 1.5-2.5% in 2017: Moody's

The forecast for operating income growth in the US over the next 12...

Textiles | On 28th Apr 2017

India lifts CVD imposed on Nepali Jute goods

The countervailing duty (CVD) that was imposed on Nepali jute...

Interviews View All

Saket Garg
Garg Corporation

The biggest challenge is lack of skilled workforce and competition from...

Victor Chao
Esmetex

‘In future, clothing boundary lines will become increasingly blurred.’

Yashiki Gumber
Sahiba Fabrics

Fabric does not restrict us from fashion trends

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Eric Scholler
Groz-Beckert

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

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

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

news category


Related Categories:
April 2017

April 2017

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

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search



X