Home / Knowledge / News / Apparel/Garments / Arctic Cat Q1'FY15 net sales mount 19% to $143.6mn
Arctic Cat Q1'FY15 net sales mount 19% to $143.6mn
25
Jul '14
Arctic Cat Inc reported net earnings of $3.6 million, or $0.27 per diluted share, for the fiscal first quarter ended June 30, 2014, on record net sales of $143.6 million. The company recorded a severance charge in the 2015 first quarter that reduced earnings by $0.08 per diluted share. 
 
Excluding this charge, the company’s first quarter earnings totaled $0.35 per diluted share, as adjusted. In the prior-year quarter, Arctic Cat had record net earnings of $5.5 million, or $0.40 per diluted share, on net sales of $120.8 million.
 
Highlights: 
-Net sales up 19 percent to $143.6 million;
-Net earnings of $0.27 per diluted share; adjusted net earnings totaled $0.35 per diluted share, excluding $0.08 severance charge;
-Company maintains full-year sales and earnings outlook for fiscal 2015, excluding severance charge
 
Commented Christopher Twomey, Arctic Cat’s chairman and chief executive officer, “We had record sales for a first quarter, with strong contributions from snowmobile sales. We shipped a large percentage of our lower-margin OEM partner models in the quarter. Sales of ATVs and side-by-sides were lower in the first quarter, as planned, to reduce dealer inventories ahead of our ATV dealer show in September.”
 
Added Twomey, “Higher sales were not enough to overcome the unfavorable Canadian currency and the planned increase in OEM sales in the 2015 first quarter, resulting in lower profitability compared to record earnings in the year-ago period. Going forward, we remain focused on increasing sales this fiscal year by introducing innovative new products, as well as continuing to leverage the company’s operating efficiency.”
 
First-Quarter Operating Review
Arctic Cat’s fiscal 2015 first-quarter net sales rose approximately 19 percent to $143.6 million, chiefly due to higher snowmobile sales to its OEM partner, in addition to increased sales from its parts, garments and accessories (PG&A) business.
 
Gross profit margin in the 2015 first quarter was 21.4 percent compared to 24.1 percent in the prior-year quarter. The gross profit margin decline of 270 basis points stemmed primarily from the unfavorable Canadian currency exchange, as approximately 30 percent of Arctic Cat’s annual sales are to Canada. Also impacting gross margin in the quarter were lower-margin OEM sales.
 
The company continued to invest in research and development to ensure a strong pipeline of new products and technologies. Operating expenses as a percent of sales were 17.6 percent compared to 17.1 percent. General and administrative expense includes the severance charge of $1.5 million for Arctic Cat’s former CEO, who left the company on May 30, 2014. Operating profit in the 2015 first quarter was $5.6 million compared to $8.5 million in the same quarter last year. Excluding the charge, Arctic Cat’s operating profit was $7.1 million, as adjusted.
 
Click here to view full results.
 

Arctic Cat Inc


Must ReadView All

Maintain NAFTA trucking provisions: AAFA, US trade bodies

Apparel/Garments | On 22nd Nov 2017

Maintain NAFTA trucking provisions: AAFA, US trade bodies

The American Apparel & Footwear Association (AAFA) recently joined...

Vietnam’s textile & garment exports cross $24bn till Oct

Textiles | On 22nd Nov 2017

Vietnam’s textile & garment exports cross $24bn till Oct

Vietnam earned $24.372 billion from textile and garment exports in...

Karl Mayer unveils TMJ 4/1-T terry warp knitting machine

Textiles | On 22nd Nov 2017

Karl Mayer unveils TMJ 4/1-T terry warp knitting machine

Karl Mayer, a technology and market leader in textile machinery from...

Interviews View All

Angelina Francesca Cheang
MY ANJE

'Consumers in the age-group 21 to 38 are driving the activewear trend'

Asim Dalal
Indo Count Retail Ventures

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

Nuno Venda
ROQ

‘There has been an increase in demand for water based inks, rather than...

Hardik Sanghvi

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

Sugandha Bhardwaj

<div>New Delhi-based Brinjal Designs Pvt Ltd manufactures home furnishing...

Erik Sy

Manila-based CustomThread is a start-up offering premium custom apparel...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Eric Scholler
Groz-Beckert

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

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Sidharth Sinha
Sidharth Sinha

<b>Sidharth Sinha</b> has contributed to the successful rebirth and...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

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

November 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
68.5%
No
12.4%
Skip
19.1%

Total Votes: 89

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
61.8%
No
30.3%
Skip
7.9%

Total Votes: 89

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
86.5%
No
10.1%
Skip
3.4%

Total Votes: 89

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
80.9%
No
9.0%
Skip
10.1%

Total Votes: 89


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