Home / Knowledge / News / Apparel/Garments / Q4 net sales down 9% at American Apparel
Q4 net sales down 9% at American Apparel
27
Mar '15
Net sales for the fourth quarter ended December 31, 2014 at NYSE listed clothing distributor and retailer, American Apparel, Inc were down 9 per cent year over year.

Net sales for the fourth quarter of 2014 declined 9 per cent from the prior year quarter to $15.6 million, due to lower sales in all three sales channels.

Gross profit in the reporting quarter too fell 9 per cent to $72.2 million from $79.5 million for the same period in 2013, primarily due to lower retail and wholesale sales volume.

Gross profit, excluding significant charges, increased to 52.2 per cent of net sales in the fourth quarter of 2014 from 47.5 per cent in the corresponding quarter of 2013.

Operating expense for the fourth quarter of 2014 stood at $84.0 million, compared to $90.7 million for the same period in the previous year.

Excluding effects of customs settlement and contingencies charges, the internal investigation of Dov Charney and employment settlement and severance costs, operating expenses declined 12 per cent year on year.

“The decrease in costs was due to lower payroll and lower costs related to our advertising and promotional activities from our ongoing cost reduction initiatives,” American Apparel said in a press release.

In the quarter under review, net loss climbed higher to $28.0 million or $0.16 per share as against $20.8 million, or $0.19 per share for the fourth quarter of 2013.

According to American Apparel, results for the fourth quarter of 2014 include $15.4 million, or $0.09 per share, related to significant charges.

While, results for the fourth quarter of 2013 included $4.2 million or $0.04 per share also, related to significant charges.

As of December 31, 2014, it had $8.3 million in cash, $34.3 million outstanding on its asset-backed revolving credit facility and $13.1 million of availability for additional borrowing under the facility.

As of March 13, 2015, American Apparel had $5.8 million of availability for additional borrowings under the facility.

On March 25, 2015, the apparel retailer entered into the Sixth Amendment to the Capital One Credit Facility which waived any defaults under the Capital One Credit Facility.

This was due to failure to meet the obligation to maintain the obligation to maintain the maximum leverage ratio and minimum adjusted EBITDA for the measurement periods ended December 31, 2014. (AR)

Fibre2fashion News Desk - India


Must ReadView All

Textiles | On 28th Jun 2017

GST and textiles industry: Analysis and opinion

The Goods and Services Tax (GST) is at long last all set to be rolled ...

Textiles | On 28th Jun 2017

India probing dumping of polyester yarn by China

Indian government is probing anti-dumping allegations against a...

Courtesy: Raymond

Apparel/Garments | On 28th Jun 2017

Raymond plans to invest Rs 1,400 crore in Amravati plant

Raymond, Indian textiles and apparel major, has decided to invest Rs...

Interviews View All

Asim Dalal
Indo Count Retail Ventures

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

Yashiki Gumber
Sahiba Fabrics

Fabric does not restrict us from fashion trends

Kaizad Hansotia
GetNatty

Competition is the best thing that can happen to a startup

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Johan Berlin
InvestKonsult Sweden AB

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

Suresh Patel
Sidwin Fabric

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

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

Karan Arora
Karan Arora

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

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

news category


Related Categories:
July 2017

July 2017

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

SUBSCRIBE


Browse Our Archives

GO


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