Home / Knowledge / News / Apparel/Garments / American Apparel nine months' sales up 5%
American Apparel nine months' sales up 5%
15
Nov '13
American Apparel, Inc., a vertically integrated manufacturer, distributor, and retailer of branded fashion-basic apparel, announced financial results for its third quarter ended September 30, 2013.

Financial Performance Summary for the Three and Nine Months Ended September 2013

-For the three months ended September 30, 2013, net sales increased 1% to $164.5 million on a 2% increase in comparable store sales and a 2% increase in wholesale net sales.

-For the three months ended September 30, 2013, adjusted EBITDA was $3.8 million vs. $13.3 million in the 2012 third quarter.

-For the nine months ended September 30, 2013, net sales increased 5% to $464.8 million on a 5% increase in comparable store sales and 6% increase in wholesale net sales.

- For the nine months ended September 30, 2013, adjusted EBITDA was $11.0 million vs. $18.8 million in the nine months ended September 30, 2012.

- A substantial majority of the decrease in adjusted EBITDA for each period was a result of transition and start-up costs associated with the conversion to the company's new distribution center.

According to John Luttrell, Chief Financial Officer of American Apparel, Inc., "Our lower EBITDA performance was substantially impacted by events surrounding the transition to and opening of our new distribution center. However, we believe that these issues are now substantially behind us, and although there will be some remaining transition costs in the fourth quarter of 2013, we do not anticipate that these transition and start-up costs will negatively affect our financial performance in 2014.

Sales momentum for the quarter was positive despite weak U.S. apparel sector demand. Our sales were also impacted by the distraction from the distribution center transition and by late product deliveries. This contributed to a substantial increase in out of stock positions for some of our most popular styles. We also believe we missed sales opportunities by not carrying enough inventory of top selling items to meet both retail and wholesale demand."

According to Dov Charney, Chairman and CEO of American Apparel, Inc., "No question we had a rough 3rd quarter, although I think it is important to emphasize that most of the challenges we have faced were primarily technically oriented and we believe these challenges are substantially behind us. That being said, I am confident in three things: our brand is strong, our customer is energized, and our product line is being well received. I believe American Apparel is a company that can grow significantly."

Click here to read full results

American Apparel


Must ReadView All

Indian govt approves special package for leather, footwear

Textiles | On 16th Dec 2017

Indian govt approves special package for leather, footwear

The Union Cabinet chaired by PM Narendra Modi has approved a special...

EU parliament resolution calls for Cambodia sanctions

Apparel/Garments | On 16th Dec 2017

EU parliament resolution calls for Cambodia sanctions

Following the ongoing crackdown in Cambodia on the opposition and...

Affordable prices to be hit if US pulls out of NAFTA: NRF

Apparel/Garments | On 16th Dec 2017

Affordable prices to be hit if US pulls out of NAFTA: NRF

US retailers’ ability to offer consumers quality products at...

Interviews View All

Sonia Agarwal
Whitenife

‘The terms eco-friendly and organic are common but everyone perceives them ...

Kaizad Hansotia
GetNatty

Competition is the best thing that can happen to a startup

Rashi Menda
Zapyle

Every fifth sale we make on Zapyle is a repeat purchase

Nitesh Mittal

Kusumgar Corporates is a leading manufacturer of technical textiles and...

Hardik Sanghvi

Idealin Fogging Systems has been engaged in designing and manufacturing...

Vikas Banduke

Softech Controls Private Limited (SCPL) is a part of the Cotmac Group, an...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Marcel Alberts
Eurofibers

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

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

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 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.6%
No
12.0%
Skip
18.5%

Total Votes: 92

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
62.0%
No
30.4%
Skip
7.6%

Total Votes: 92

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.0%
No
9.8%
Skip
3.3%

Total Votes: 92

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
81.5%
No
8.7%
Skip
9.8%

Total Votes: 92


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search