Home / Knowledge / News / Apparel/Garments / Le Château gets $70mn credit facility from GE capital
Le Château gets $70mn credit facility from GE capital
28
Apr '12
Le Château Inc. reported that sales for the fourth quarter ended January 28, 2012 amounted to $82.5 million, a decrease of 5.3% from $87.1 million for the fourth quarter ended January 29, 2011. Comparable store sales decreased 7.2% for the fourth quarter versus the same period a year ago.

Earnings before interest, income taxes, depreciation and amortization (“EBITDA”) for the fourth quarter amounted to $8.8 million or 10.6% of sales, compared to $11.1 million or 12.7% of sales last year. Net earnings for the fourth quarter amounted to $1.1 million or $0.05 per share (diluted) compared to net earnings of $4.2 million or $0.17 per share the previous year.

Year-end Results
Sales for the year ended January 28, 2012 amounted to $302.7 million, a decrease of 5.1% from $319.0 million for the year ended January 29, 2011. Comparable store sales decreased by 7.9% versus the same period a year ago. Sales were negatively impacted throughout 2011 by several factors including: a reduction in store traffic as consumers continued to remain cautious on discretionary spending within a challenging retail environment; the impact of an unseasonably warm winter on demand for winter-wear; and a shift out of the junior casual wear market in order to re-align all of the product categories under one clear, focused lifestyle brand targeting contemporary fashion for today's modern man and woman.

EBITDA for the year amounted to $20.2 million or 6.7% of sales, compared to $47.0 million or 14.7% of sales last year. Net loss for the year ended January 28, 2012 amounted to $2.4 million or $(0.10) per share (diluted) compared to net earnings of $19.6 million or $0.79 per share for the year ended January 29, 2011. Earnings and margins for the year were negatively impacted by increased promotional activity.

The Company incurred some non-recurring expenses related to the temporary ramp-up in marketing expenses to accelerate brand repositioning efforts and start-up costs related to the e-commerce initiative which totaled $5.8 million for the year. The Company also recorded $2.0 million for write-offs and impairment of property and equipment related to store closures and renovations. In fiscal 2013, the Company is planning to close eight stores in Canada and one store in the U.S., the latter being the Broadway store in New York.

During the year, the Company opened six stores, closed one and expanded twelve existing locations, resulting in the addition of 62,000 square feet or 5.1% to the Le Château network, bringing the total floor space at end of period to 1,284,000 square feet.

Effective for the first quarter ended April 30, 2011, the Company began reporting its financial results in accordance with International Financial Reporting Standards (“IFRS”). Previously reported financial results prepared in accordance with Canadian generally accepted accounting principles have been restated to conform to the new standards adopted.


Must ReadView All

Sri Lanka to set up 150 mini apparel units

Apparel/Garments | On 23rd Nov 2017

Sri Lanka to set up 150 mini apparel units

A mini apparel factory was opened recently at Sri Lanka’s Menik Farm...

Egypt keen to boost ties with India in MSMEs, textiles

Textiles | On 23rd Nov 2017

Egypt keen to boost ties with India in MSMEs, textiles

Egypt is eager to boost cooperation with India, particularly in the...

India begins review of anti-dumping duty on caustic soda

Textiles | On 23rd Nov 2017

India begins review of anti-dumping duty on caustic soda

The Directorate General of Anti-Dumping & Allied Duties (DGAD), under ...

Interviews View All

Smarth Bansal
Colorjet India Limited

We would like to venture more companies into the Indian market

Saket Garg
Garg Corporation

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

Mohammad Mamun Ar Rashid
UL VS Bangladesh Ltd

Productivity, creativity and innovation play a vital role in the growth of ...

Erik Sy

Manila-based CustomThread is a start-up offering premium custom apparel...

Ravindra Jain, Ashish Baid

Oswal Prints Private Limited has been manufacturing and exporting ethnic...

C Dhandayuthapani

MAG Solvics Private Limited was established in 1991 to design and develop...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

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

November 2017

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

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
68.5%
No
12.4%
Skip
19.1%

Total Votes: 89

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
61.8%
No
30.3%
Skip
7.9%

Total Votes: 89

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
86.5%
No
10.1%
Skip
3.4%

Total Votes: 89

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
80.9%
No
9.0%
Skip
10.1%

Total Votes: 89


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