Second Quarter Fiscal 2012 Highlights:
Walter Killough, Chief Executive Officer, commented, “We are extremely pleased with our second quarter performance in both our retail and direct segments. Our results were driven by favorable customer reaction to the changes in our merchandise assortments and visual presentation for our dELiA*s brand, which led to double digit increases in both comparable store sales and in our dELiA*s direct business, as well as higher merchandise margins.”
Mr. Killough continued, “In our retail segment, based on current trends we expect mid-single digit positive comparable store sales for the month of August, with improved merchandise margins. In the dELiA*s direct business, we have released our July and August catalogs which have generated double-digit sales increases to date compared to last year. We believe our performance demonstrates that our strategic initiatives have been effective and should continue to deliver improved results.”
Results by Segment
Retail Segment Results
Total revenue for the retail segment for the second quarter of fiscal 2012 increased 8.8% to $28.7 million from $26.4 million in the second quarter of fiscal 2011. Retail comparable store sales increased 14.0% for the second quarter of fiscal 2012 compared to an increase of 7.2% for the second quarter of fiscal 2011.
Gross margin for the retail segment, which includes distribution, occupancy and merchandising costs, was 26.2% for the second quarter of fiscal 2012 compared to 16.0% in the prior year period. The increase in gross margin resulted primarily from higher merchandise margins, driven by increased full price selling and fewer markdowns, and the leveraging of reduced occupancy costs.
Selling, general and administrative (SG&A) expenses for the retail segment were $11.3 million, or 39.3% of sales, in the second quarter of fiscal 2012 compared to $11.8 million, or 44.7% of sales, in the prior year period. The decrease in SG&A expenses in dollars and as a percent of sales reflects the leveraging of reduced selling, overhead and depreciation expenses.
Textiles | On 21st Feb 2017
Net profit at Thailand headquartered and Aloke Lohia led Indorama...
Information Technology | On 21st Feb 2017
ThreadSol, the pioneer of enterprise material management for sewn...
Textiles | On 21st Feb 2017
The Goods and Services Tax (GST) is likely to result in a reduction...
‘The intimatewear category in India is slowly becoming trend-sensitive.’
‘Online economy has changed the whole dynamics of buying habits.’
Orange O Tec
Contemporary industry is paying more and more attention to the...
Iago Castro Asensio
RCfil Distribuciones S.L.
Iago Castro Asensio, International Business Manager of RCfil...
Bombay Textile Research Association
Bombay Textile Research Association (BTRA) is a leading name in textile...
Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...
Apparel/Garments | On 20th Feb 2017