Home / Knowledge / News / Apparel/Garments / Q2FY15 revenue plunges 22.4% at clothing retailer dELiA*s
Q2FY15 revenue plunges 22.4% at clothing retailer dELiA*s
12
Sep '14
Revenue plunged 22.4% year-on-year at NASDAQ-listed dELiA*s, Inc., an omni-channel retail company primarily marketing to teenage girls in the second fiscal quarter ending August 2, 2014.

Total revenues declined 22.4% to $25.7 million in the second quarter of 2014 from $33.2 million in the second quarter of 2013. Comparable store sales too fell 12.4%.

In the second quarter of 2014, gross profit as a percentage of sales stood at 17.1% down from 20.9% in the prior year quarter, which dELiA*s attributed to the deleveraging of occupancy, merchandising and distribution costs.

Selling, general and administrative (SG&A) expenses reached $17.6 million, or 68.2% of revenues, in the second quarter of fiscal 2014 compared to $17.2 million, or 51.9% of revenues, in the prior year period.

dELiA*s said the rise in SG&A expenses is mainly as a result of marketing initiatives related to its social media and e-commerce business as well as stock-based compensation expense.

The operating loss for the second quarter of fiscal 2014 rose to $12.9 million compared to a loss of $10.1 million in the prior year comparable quarter.

Loss from continuing operations grew to $13.6 million in the period under preview against loss from continuing operations for the second quarter of 2013 of $11.1 million.

dELiA*s said it opened one store location and closed five store locations during the second quarter of fiscal 2014, ending the period with overall count of 95 stores.

At the end of the second quarter of 2014, cash and cash equivalents decreased to $3.1 million compared with $4.2 million at the end of the second quarter of 2013.

At the end of the second quarter of 2014, dELiA*s had restricted cash of $8.3 million to support outstanding letters of credit.

Availability under the apparel retailers’ credit facility with Salus Capital was $16.0 million as of the end of the second quarter of 2014, net of borrowings of $5.4 million.

Total net inventories at the end of the second quarter of 2014 went up to $29.2 million compared with $26.8 million at the end of second quarter of fiscal 2013.

As per dELiA*s, the increase in net inventory at the end of the second quarter reflects a shift in the timing of receipts for Fall products.

CEO Tracy Gardner said, “We are intently focused on transforming from a catalog-centric business with stores and a website to a fully-integrated omni-channel experience. This transition is only now beginning to take hold and will be a continued focus of this organization.” (AR)

Fibre2fashion News Desk - India

Must ReadView All

Courtesy: Myntra

Apparel/Garments | On 3rd Dec 2016

Myntra to be EBITA positive by FY18: CEO Narayanan

Myntra is on track to achieve sustainable growth and be EBITA...

Courtesy: India ITME Society

Textiles | On 3rd Dec 2016

India ITME 2016 opens with over 1050 exhibitors

The India International Textile Machinery Exhibition (India ITME)...

Courtesy: Bruckner

Textiles | On 3rd Dec 2016

Indian textile companies opt for Brückner stenter lines

Indian textile firms Laxmipati Sarees, makers of polyester sarees and ...

Interviews View All

Akash Khetan
Narayan Tex Fab

I find it hard to find professionals in Surat

Sunil Kumar Sharma
Loknayak JPNSSSG Ltd

'The blend of cotton–linen yarn has high demand in the domestic and...

Amrit Sethia
SOIE

‘The intimatewear category in India is slowly becoming trend-sensitive.’

Paolo Ocleppo
Sandvik Hyperion

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

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Silvia Venturini Fendi
Fendi s.r.l

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

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

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 2016

December 2016

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

SUBSCRIBE


Browse Our Archives

GO


Advanced Search