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

Apparel/Garments | On 29th Jun 2017

Amazon intends to keep investing and growing in India

American online retail giant Amazon intends to keep investing and...

Textiles | On 29th Jun 2017

Vietnam’s textile & garment exports cross $10bn till May

Vietnam earned $10... billion from textile and garment exports in the ...

Textiles | On 29th Jun 2017

Indian textile industry will reach new milestone by 2020

By 2020, textile technologies will be highly advanced not only with...

Interviews View All

Asim Dalal
Indo Count Retail Ventures

Today, there is no other emerging market as India, "we make in India and...

Awen Delaval
Samatoa

'Natural fibres are appreciated for traditional authenticity'

Sunil Rathore
Lacoste India

‘New vendor is welcome if he offers cost, quality and timely delivery’

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Lynda Kelly
Suominen Corporation

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

Marcel Alberts
Eurofibers

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

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

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:
July 2017

July 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



X