Home / Knowledge / News / Apparel/Garments / Next Inc's gross operating margins slightly down
Next Inc's gross operating margins slightly down
02
Jul '08
Next Inc an emerging leader in the imprinted sportswear products industry, announced its fiscal second quarter earnings for the three and six month periods ended May 30, 2008. The Company will file its Form 10-Q for the quarter on Monday, July 7, 2008.

Net sales were $2,117,244 for the three months ended May 30, 2008, compared to $2,157,310 for the three months ended June 1, 2007.

The Company lost $559,796, or $0.02 per share for the second quarter of 2008 compared to prior year loss of $570,645 or $0.03 per share for the same period. There were no special, one-time credits associated with either quarter's results.

For the six months ended May 30, 2008, net sales were $4,658,167, compared to $5,783,233 for the six months ended June 1, 2007.

The Company lost $895,211, or $0.04 per share for the year-to-date of 2008 compared to the prior year's loss of $961,601, or $0.05 per share for the same period.

Mr. David Cole, the Company's CFO, stated, "The quarter's gross operating margins were down slightly this year over last primarily due to adverse sales mix changes, higher consumables spending and samples expense for upcoming lines.

Those increases were partially offset by continuing improvements in expense and productivity management. We also benefited from lower interest rates this year, which brought our pre-tax losses back in line with last year.”

Cole continued, “Our focus on controlling costs has resulted favorably on our operating results over the last eighteen months in a difficult selling environment.

We will also continue to emphasize wise management of cash within the constraints of our lending agreements. With current customer commitments, our inventories should begin to drop over the balance of the year, where we expect our cash position will benefit directly.”

Mr. Robert Budd, the Company's CEO, stated, “We continue to be pleased with the trend of improvements in quarter over quarter net operating margin. Our retained focus on working towards improving our sales volumes resulted in sales that were on par with last year for the quarter.

Although at first glance, this may not sound like a notable accomplishment, it is worth noting that overall retail sales were down significantly in the same period.

Our view of the lower year-to-date sales level continues to be that it is not indicative of future sales growth potential.

As we review our current sales pipeline, there is currently cause for cautious optimism looking at the balance of the year.

We will continue to review new opportunities to diversify sales into new distribution channels, and improve existing ones, such as our recent GSI Commerce announcement.

We will also continue to fortify valuable customer relationships, creating immeasurable goodwill that has the potential to yield material sales improvements as they see increased retail spending.”

Next Inc


Must ReadView All

US merchandise trade with India, 2012–16; Courtesy: USITC

Textiles | On 27th Jul 2017

India becomes US’ 9th largest trading partner in 2016

In 2016, India became the United States’ 9th-largest single-country...

Textiles | On 27th Jul 2017

GST will lead to further increase of MMF prices

The Goods & Services Tax (GST) rolled out on July 1, 2017 is not...

Textiles | On 27th Jul 2017

Global yarn production improved 30% q-o-q in Q1: ITMF

In the first quarter of 2017, global yarn production rose by almost...

Interviews View All

Neel Sawhney
One Friday

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

Mandeep Nagi
Shades of India

Women value something that is unique and has a flavour of India

Manfred Mentges
Sedo Treepoint GmbH

We see a higher demand in colour management systems, as customers see big...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Steve Cole
Xerium Technologies

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

Marcel Alberts
Eurofibers

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

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Robert Brunner
Devereux

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

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

July 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

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Thanks for your valuable feedback. Claim your free latest sustainability e-book.


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



X