Second Quarter Results
Dillard's reported net income for the 13 weeks ended July 28, 2012 of $31.0 million, or $0.63 per diluted share compared to net income of $17.6 million or $0.32 per share for the 13 weeks ended July 30, 2011. Highlights of the 13 weeks ended July 28, 2012 included:
Dillard's Chief Executive Officer, William T. Dillard, II, stated, "Continuing on the momentum of a successful first quarter, we are proud to report a 97% increase in second quarter earnings per share. Our 3% sales increase combined with gross margin improvement and control of our expenses enabled us to report a notable improvement in operating results today. Additionally, with strong cash flow during the quarter, we repurchased $134.6 million of Class A Common Stock under our share repurchase program."
Included in net income for the prior year second quarter is a $2.1 million net pretax gain ($1.4 million after tax or $0.02 per share) relating to the sale of an interest in a mall joint venture.
Net Sales - 13 Weeks
Net sales for the 13 weeks ended July 28, 2012 were $1.488 billion compared to net sales for the 13 weeks ended July 30, 2011 of $1.442 billion. Net sales include the operations of the Company's construction business, CDI Contractors, LLC ("CDI").
Total merchandise sales (which exclude CDI) for the 13-week period ended July 28, 2012 were $1.456 billion compared to $1.426 billion for the 13-week period ended July 30, 2011. Total merchandise sales increased 2% during the second quarter. Sales in comparable stores increased 3%.
Sales trends were strongest in ladies' accessories and lingerie, followed by shoes and cosmetics. Weakest performing categories were home and furniture and juniors' and children's apparel. Sales trends were strongest in the Central region, followed by the Eastern and Western regions.
Gross margin from retail operations (which excludes CDI) was 34.3% (of sales) for the 13 weeks ended July 28, 2012 compared to 33.6% for the prior year second quarter. Consolidated gross margin for the 13 weeks ended July 28, 2012 was 33.6% compared to 33.2% during the prior year second quarter. Inventory in comparable stores was flat at July 28, 2012 compared to July 30, 2011.
Advertising, Selling, Administrative and General Expenses
Advertising, selling, administrative and general expenses ("operating expenses") decreased approximately 70 basis points of sales during the 13 weeks ended July 28, 2012 compared to the 13 weeks ended July 30, 2011. Operating expenses were $398.8 million (26.8% of sales) and $396.0 million (27.5% of sales), respectively. During the second quarter, increases in payroll, services purchased and insurance were partially offset by cost savings in advertising and utilities.
Apparel/Garments | On 24th Feb 2017
SigNatureT DNA is forensic molecular tag by Applied DNA Sciences...
Textiles | On 24th Feb 2017
The value of textile and garment exports made by Pakistan decreased...
Fashion | On 24th Feb 2017
Google has partnered with British fashion designer Christian Cowan to ...
Key Textile Accessories Private Limited
Chinese imports are destroying the supply chain
‘Sustainable fashion is trending upwards, slowly but surely, as people...
We are ready to adopt or follow every opportunity
Iago Castro Asensio
RCfil Distribuciones S.L.
Iago Castro Asensio, International Business Manager of RCfil...
Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...
Voith Paper GmbH & Co. KG
The glass mat industry is growing by five to eight per cent annually. Kai...
Label Ritu Kumar
‘Classics will return’ "There are a lot of people wearing western clothes ...
Silvia Venturini Fendi
"Yes, my confidence and positive attitude are my strengths and should be...
"We should not compare India and the West. There are things we do that...