Home / Knowledge / News / Apparel/Garments / Hampshire Group Q1 sales decline 11.9%
Hampshire Group Q1 sales decline 11.9%
10
May '13
Hampshire Group, Limited announced its results for the first quarter ended March 30, 2013.

Net sales for the 2013 first quarter were $19.9 million compared to $22.6 million in the first quarter of 2012. The loss from continuing operations before income taxes was $5.2 million, compared to a loss of $5.3 million for the prior year. The Company reported a loss per share from continuing operations of $0.72 compared to $0.80 for the same period last year.

The 11.8% decrease in net sales was due to lower net sales from Rio Garment, our Honduran manufacturing plant, offset by an increase in new Dockers tops business. Gross profit for the quarter was $3.6 million vs. $3.8 million a year ago.

The gross margin for the quarter was 18.2%, an increase over the 16.9% in the same quarter last year. Gross margin improvement stemmed from production of more fashion-oriented product with higher average selling prices from Rio Garment as well as manufacturing efficiencies at the Honduran facility, offset by lower margins under Dockersand Panama Jack licensing deals.

Selling, general and administrative expenses for the quarter were $8.1 million or 40.6% of net sales vs. $9.0 million or 40.0% of net sales in last year’s quarter. The $0.9 million decrease in SG&A came from cost savings measures implemented in 2012 offset by $0.3 million in advisory consulting services during the current year quarter. Hampshire Group recorded $0.7 million in contract termination charges for the quarter related to severance expenses.

For the quarter, the Company had negative EBITDA of $4.2 million compared to negative $3.9 million for the same period last year. Adjusted EBITDA, which excludes contract terminations, restructuring and stock based compensation charges, was negative $3.4 million compared to negative $3.7 million for the comparable period last year.

The Company ended the quarter with $6.2 million in cash and cash equivalents, including $0.7 million of restricted cash, compared to $12.5 million at December 31, 2012. The sequential decline was a result of lower sales and higher ending inventory. The Company’s working capital was $20.1 million at March 30, 2013 compared with $24.9 million at December 31, 2012.

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

Neel Sawhney
One Friday

‘The share of kidswear segment in the online sector is still small in...

Shawn Honeycutt
Bolger & O'Hearn

‘The Indian market is interesting and rather persistent in seeking new...

Abhishek Ganguly
Puma India

‘As a brand, Puma is always looking for new and innovative ways to inspire ...

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Mark Paterson
Technical Absorbents Ltd

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

Sonam & Paras Modi
SVA

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

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

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