Home / Knowledge / News / Apparel/Garments / Gildan Activewear Q3 FY'13 sales hike 44%
Gildan Activewear Q3 FY'13 sales hike 44%
01
Aug '13
Gildan Activewear Inc. announced its results for its third fiscal quarter ended June 30, 2013.

Earnings were a record for a fiscal quarter, and were at the top end of the guidance range which the Company had most recently updated on May 2, 2013. The Company also further narrowed its earnings guidance for the full fiscal year, and reconfirmed its full year guidance for net sales revenues.

Highlights:

- Third Quarter Adjusted EPS of U.S. $0.95, Up 44% from Q3 2012 and at Top End of Guidance Range

- Strong Retailer Sales to Consumers of New National Gildan Branded Underwear Program

- New Programs Secured for Fiscal 2014 as Supply Chain Partner for Global Athletic and Lifestyle Brands

- 2013 Full Year Adjusted EPS Guidance Further Narrowed to High End of Prior Range

Third Quarter Results

Net earnings were U.S. $115.8 million or U.S. $0.94 per share on a diluted basis for the third fiscal quarter ended June 30, 2013, compared with net earnings of U.S. $78.6 million or U.S. $0.64 per share for the third quarter of fiscal 2012.

Net earnings included after-tax restructuring and acquisition-related costs amounting to U.S. $0.7 million in the third quarter of fiscal 2013 and U.S. $1.6 million in the third quarter of the prior year. Before restructuring and acquisition-related costs, adjusted net earnings for the third quarter of fiscal 2013 were U.S. $116.5 million or U.S. $0.95 per share, up 45.3% and 43.9%, respectively, compared to adjusted net earnings of U.S. $80.2 million or U.S. $0.66 per share in the third quarter of last year.

The Company had previously projected adjusted net earnings of U.S. $0.92-$0.95 per share for the third quarter, when it reported its second quarter results on May 2, 2013. Operating income for both operating segments was in line with forecast.

The benefit of lower than projected promotional discounts in Printwear was essentially offset by lower than forecast Printwear sales volumes due to production capacity constraints which limited the Company’s ability to fully capitalize on seasonal peak demand for activewear during the third quarter.

The growth in the Company’s net earnings compared to the third quarter of last year was due to lower cotton costs, higher unit sales volumes in both operating segments, more favourable branded product-mix in Branded Apparel, increased supply chain and manufacturing efficiencies and lower financial expenses, partially offset by lower net selling prices for Printwear, increased selling, general and administrative expenses and higher income taxes.

On July 31, 2013, the Company announced selling price reductions for certain printwear products, and applied the benefit of these selling price reductions to distributor inventories. The impact of the distributor inventory devaluation discount included in results for the third quarter was approximately U.S. $0.05 per share.

Net sales in the third quarter amounted to U.S. $614.3 million, up 2.3% from U.S. $600.2 million in the third quarter of fiscal 2012. Net sales for the quarter were slightly below the Company’s guidance of approximately U.S. $630 million due to the production capacity constraints which limited the Company’s ability to fully capitalize on seasonal peak demand for activewear in both North American and international printwear markets, partially offset by lower than projected promotional discounts.

Click here to read full results

Gildan Activewear

Must ReadView All

Courtesy: Ikea

Textiles | On 26th Apr 2017

Ikea’s product sourcing from India to double by 2020

Ikea, the global home furnishing giant from Sweden, plans to double...

Textiles | On 26th Apr 2017

CITA to add insufficiently available fabric in CAFTA-DR

The Committee for the Implementation of Textile Agreements (CITA) has ...

Courtesy: SKF

Textiles | On 26th Apr 2017

SKF brings predictive maintenance for machinery to India

SKF India, a global supplier of bearings, seals, mechatronics,...

Interviews View All

Kaizad Hansotia
GetNatty

Competition is the best thing that can happen to a startup

Mukesh Agarwal & Rajesh Agarwal
Madhuram Fincap Pvt Ltd

Increasing prices and lack of demand main issues facing industry

Divyesh Mashruwala
Akshar Industries

Surat dominates foiling, embossing and pleating

Urs Stalder
Sanitized AG

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

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Mike Hoffman
Gildan Activewear SRL

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

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Rupa Sood and Sharan Apparao
Nayaab

Nayaab, an exhibition meant to celebrate Indian weaves, is in its second...

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