Net sales for the quarter were $309.8 million, a decrease of 0.5% compared to $311.5 million in net sales for the same quarter last year. Comparable sales for the quarter decreased 4% versus the same quarter last year.
Gross profit for the quarter was $123.5 million, or 39.8% of net sales, compared to $125.6 million, or 40.3% of net sales, for the same quarter last year.
Excluding purchase accounting adjustments of $2.6 million and $3.1 million for the third quarter of this year and last year, respectively, relating to the November 2010 acquisition of the Company by Giraffe Holding, Inc., an entity majority-owned by investment funds sponsored by Bain Capital Partners, LLC (the "Acquisition"), gross profit was $126.0 million, or 40.7% of net sales, and $128.7 million, or 41.3% of net sales, for the third quarter of this year and last year, respectively.
SG&A expense for the quarter was $111.2 million, or 35.9% of net sales, compared to $99.0 million, or 31.8% of net sales, in the same quarter last year.
Results for the third quarter of this year and last year include $2.1 million and $5.3 million, respectively, of additional costs resulting from the Acquisition, including the effect of purchase accounting adjustments, and other adjustments. Excluding these expenses, SG&A expense for the third quarter of this year and last year was $109.1 million, or 35.2% of net sales, and $93.8 million, or 30.1% of net sales, respectively.
Net loss for the quarter was $24.4 million compared to net income of $4.9 million for the same quarter last year.
Net loss attributable to The Gymboree Corporation before interest, income taxes and depreciation and amortization, adjusted for other items, decreased 27.7% to $33.9 million for the quarter compared to $46.9 million for the same quarter last year. Adjusted EBITDA is not a performance measure under GAAP.
Balance Sheet Highlights
There were $24.0 million in borrowings outstanding under the ABL as of the end of the quarter and approximately $165.9 million of undrawn availability.
Cash at the end of the quarter was $19.1 million compared to $42.6 million at the end of the same quarter last year, reflecting the pay down of approximately $25 million of the term loan and the repurchase of $54.0 million in notes since the end of the third quarter last year.
Capital expenditures for the fiscal year to date were $35.2 million, with the majority of the cash used to fund the opening of 70 new stores during the year.
Inventory balances at the end of the quarter were $222.4 million compared to $255.7 million at the end of the same quarter last year. Compared to the same quarter last year, inventory cost on a per square foot basis was down 20% this quarter, while inventory units on a per square foot basis were down mid teens in the quarter.
Textiles | On 22nd Jun 2017
Zund Systemtechnik AG, Switzerland’s textile machinery firm that...
Textiles | On 22nd Jun 2017
Hpfabrics, manufacturer of raw fabrics, is opening a new production...
Apparel/Garments | On 22nd Jun 2017
Napapijri has introduced the new Superlight Parka, a new lightweight...
Online remains the best destination for shopping
Encouragement from brands will motivate supply chains to become more...
‘It is going to take some time for Indian buyers to get accustomed to...
Biovation II LLC
Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...
Bombay Textile Research Association
Bombay Textile Research Association (BTRA) is a leading name in textile...
Schlegel und Partner
Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...
Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...
Yash P. Kotak
Bombay Hemp Company
One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...
"We should not compare India and the West. There are things we do that...