Home / Knowledge / News / Apparel/Garments / EBIT slips 25.3% at Pacific Brands in FY14
EBIT slips 25.3% at Pacific Brands in FY14
27
Aug '14
EBIT and NPAT at Aussie apparel retailer Pacific Brands slipped 25.3% and 28.2%, respectively in the full fiscal year ending June 30, 2014.

Pacific Brands said, before significant items, EBIT was down 25.3% year-on-year to Au $91.2 million and NPAT also plunged 28.2% to Au $53.0 million, from a year ago.

However, driven by continued expansion in retail and online and the impact of acquisitions, sales rose 3.8% to $1,322.1 million for the 12 months ended 30 June 2014.

In the fiscal year ended June 30, 2014, Pacific Brands reported net loss after tax of $224.5 million, which it said was mainly to the impact of non-cash impairment charges and restructuring costs.

In the fiscal year under review, revenue from apparel brands like Bonds surged 19.9% and Sheridan rose 15.6%. However, innerwear earnings were down impacted by wholesale sales.

Sheridan Tontine earnings were also lower, primarily driven by increased investment in brands, new categories and capability.

Earnings from Workwear, which it recently sold to Wesfarmers continued to be impacted by significant declines in the industrial market, Pacific Brands said.

In the same period, reduced earnings, higher working capital and capital expenditure, acquisitions and additional restructuring costs led to an increase in net debt to $249.1 million.

Pacific Brands preferred not to declare a final dividend, to assist with funding restructuring costs and restore balance sheet strength.

CEO David Bortolussi said, “This has been a difficult year due to challenging markets and declines in consumer sentiment, which are reflected in reduced profitability, cash flow and balance sheet strength.

“We have responded by repositioning the company for the years ahead. The fixed cost base has been reduced and we are now focused on restoring balance sheet strength, while continuing to invest in our key brands, particularly Bonds and Sheridan.

“The operational changes, increased focus on inventory management and improved cash flows resulting from these initiatives will strengthen each business and underpin group performance and financial position.”

Fibre2fashion News Desk - India


Must ReadView All

Amazon debuts on Fortune 500 top 10 list

Apparel/Garments | On 28th May 2018

Amazon debuts on Fortune 500 top 10 list

American e-marketplace Amazon has cracked Fortune 500’s top 10 list...

Courtesy: Ralph Lauren

Fashion | On 28th May 2018

Ralph Lauren posts Q4FY18 revenue at $1.5 billion

Ralph Lauren, a global leader in the design, marketing, and...

Fashion industry employs 300 mn workers globally: Report

Apparel/Garments | On 28th May 2018

Fashion industry employs 300 mn workers globally: Report

The fashion industry employs over 300 million people across the value ...

Interviews View All

Smith Vaghasia
Sanado India

Online remains the best destination for shopping

Neel Sawhney
One Friday

‘The share of kidswear segment in the online sector is still small in...

Karin Ekberg
Leadership & Sustainability

Sustainable models are beneficial for brands, retailers and manufacturers

C Dhandayuthapani

MAG Solvics Private Limited was established in 1991 to design and develop...

Abhishek Pachauri

Reckon Industries adapts latest systems for manufacturing from designing...

Apurva Kothari

No Nasties was the first fashion brand in India to make 100 per cent...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Paolo Ocleppo
Sandvik Hyperion

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

Aditi Somani
Aditi Somani

Aditi Somani specialises in luxury fusion wear with international cuts and ...

Madhu Jain
Madhu Jain

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

Amiben Shroff
Shrujan

From its modest beginning in the late 1960s, Shrujan has grown into a...

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

Leave your Comments


May 2018

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

news category


Related Categories:

Advanced Search