Home / Knowledge / News / Apparel/Garments / Joe's Jeans Q2'FY14 operating income surges 55% to $3.3mn
Joe's Jeans Q2'FY14 operating income surges 55% to $3.3mn
11
Jul '14
Joe’s Jeans Inc. announced financial results for the second quarter ended May 31, 2014. 
 
Highlights:
-Second quarter net sales increased 56% to $48.2 million;
-Wholesale net sales increased 66%;
-Retail store net sales increased 19%; and
-Operating income increased 55% to $3.3 million compared to $2.1 million in the prior year period.
 
For the second quarter ended May 31, 2014, overall net sales were $48.2 million compared to $30.9 million in the prior year comparative period, or a 56% increase. We completed our acquisition of Hudson Clothing Holdings, Inc. on September 30, 2013 and our results for the second quarter of fiscal 2014 reflect the operation of Hudson as one of our wholly-owned subsidiaries.
 
Our overall gross profit for the quarter increased to $22.6 million from $13.5 million in the prior year comparative period, or a 67% increase. Our overall gross margin in the second quarter of fiscal 2014 was 47% compared to 44% in the second quarter of fiscal 2013. Operating expense in the second quarter of fiscal 2014 was $19.3 million compared to $11.4 million a year ago. 
 
Our operating income was $3.3 million compared to $2.1 million in the prior year comparative period. We had net income of $2.3 million compared to $1.2 million in the prior year period. As a result, our fully diluted earnings per share was $0.01 for the second quarter of fiscal 2014 compared to $0.02 in same period a year ago.
 
Marc Crossman, President and Chief Executive Officer, commented, “We have been working these past two quarters to position both companies to realize the cost savings benefits from our acquisition of Hudson. We expect to begin to see the benefit of that work in the third quarter of fiscal 2014. 
 
“We expect the savings to continue to ramp up during the fourth quarter and by year end, we expect to be running at an annualized cost savings rate in excess of $10 million per year.” Mr. Crossman concluded, “Furthermore, we expect our core results, excluding these cost savings, to pick up in the back half of the year, as we are already seeing improvement in our same store sales comps at our company owned retail stores.”
 
Wholesale
Net sales for our wholesale segment in the second quarter of fiscal 2014 increased 66% to $40.4 million compared to $24.4 million in the year ago period. Wholesale net sales for the second quarter of fiscal 2014 included $17.9 million in wholesale net sales from Hudson. Gross margin percentages for our wholesale segment were 43% for the second quarter of fiscal 2014 compared to 37% in the prior year comparable quarter. 

Must ReadView All

Courtesy: Mitsubishi chemical

Textiles | On 29th Jul 2016

Mitsubishi Chemical to offload PTA units in China, India

Japanese petrochemicals major Mitsubishi Chemical Holdings has...

Apparel/Garments | On 29th Jul 2016

Sales soar 28% at protective gear maker Under Armour in Q2

With net revenues of $1.0 billion in the second quarter ended June...

Courtesy: AveryDennison

Information Technology | On 29th Jul 2016

Q2FY17 sales at RFID solutions supplier Avery Dennison up 2%

Sales at RFID solutions supplier Avery Dennison, for the three fiscal ...

Interviews View All

Vidhyaa Shankar. S
A Ganapathi Chettiar

'The usage of knits is getting into the boundaries of woven fabrics'

Cyril Pereira
Reed Exhibitions India, organiser of Asian Machine Tool Exhibition 2016

'Major problem in the textile machinery manufacturing industry is the lack ...

Amit Jain
Shingora Textiles Ltd

‘In terms of fabric, the fastest growing category for us is a blend of...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Marcel Alberts
Eurofibers

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

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Judy Frater
Somaiya Kala Vidya

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

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Karan Arora
Karan Arora

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

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
June 2016

F2F Magazine

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

SUBSCRIBE


Browse Our Archives

GO


Advanced Search