Home / Knowledge / News / Apparel/Garments / Dress Barn increases full year earnings guidance
Dress Barn increases full year earnings guidance
03
Mar '10
Dress Barn Inc reported sales and earnings results for its fiscal second quarter ended January 23, 2010. Net sales for the fiscal second quarter ended January 23, 2010 increased 73% to $594.1 million compared to $343.2 million for the fiscal second quarter ended January 24, 2009. The increase is primarily due to the inclusion of Justice sales since the merger on November 25, 2009 to the close of the fiscal quarter. Comparable store sales for the quarter increased 10%.

By division, net sales for dressbarn increased 7% to $209.3 million compared to $196.5 million for the second quarter of fiscal 2009, primarily due to a comparable store sales increase of 6% for the quarter. Net sales for maurices increased 12% to $163.7 million compared to $146.7 million for the second quarter of fiscal 2009. The increase was due to a comparable store sales increase of 5% and a 7% increase in average square footage versus the prior year. Net sales for Justice were $221.1 million since the merger on November 25, 2009. During this period, comparable store sales increased 19%.

Net earnings for the fiscal second quarter increased to $21.7 million, or $0.28 per diluted share compared to the recast GAAP net loss of $1.8 million, or $0.03 loss per diluted share for the second quarter of fiscal 2009. Interest expense for both periods includes non-cash, imputed interest from the adoption of ASC 470-20 as further described below.

Net earnings on a non-GAAP basis increased to $28.1 million, or $0.37 per diluted share compared to a net loss for the second quarter of 2009 of $1.8 million, or $0.03 loss per share. During the quarter, the Company incurred certain items that management believes are not indicative of ongoing operations totaling $10.5 million in pretax charges. These charges include the accounting loss on the extinguishment of debt and merger related costs. The Company believes it is valuable for users of the Company's financial statements to be made aware of the non-GAAP financial information; as such measures are used by management to evaluate the operating performance of the Company on a comparable basis. Accordingly, a GAAP to non-GAAP reconciliation of these items is provided later in this release.

SG&A expenses for the fiscal second quarter were $171.7 million, or 28.9% of sales compared to $103.0 million, or 30.0% of sales in the prior year's comparable period. SG&A expenses on a non-GAAP basis were $167.0 million, or 28.1% of sales compared to $103.0 million, or 30.0% of sales in the prior year's comparable period. The decrease of 190 basis points as a percent of sales was primarily due to leverage from the increased comparable store sales.

Operating income for the fiscal second quarter was $43.1 million, or 7.3% of sales compared to a $2.4 million loss, or (0.7%) of sales in the prior year second quarter. On a non-GAAP basis operating income increased to $47.8 million, or 8.1% of sales compared to a $2.4 million loss, or (0.7%) of sales in the prior year second quarter. This increase is primarily due to improved gross profit and leverage from increased comparable store sales.

Must ReadView All

Courtesy: American Apparel

Apparel/Garments | On 25th Feb 2017

Gildan to make some American Apparel products outside US

Gildan Activewear, which recently acquired US fashion brand American...

Courtesy: Kolon Sport

Apparel/Garments | On 25th Feb 2017

Kolon Sport to set up JV with ANTA for Chinese market

Kolon Sport, an outdoor gear and clothing brand of Korea based Kolon...

Designer Karishma Jumani with Niraj Jawanjal, founder and director of IIFW. Courtesy: IIFW

Textiles | On 25th Feb 2017

IIFW to bring together premium lingerie brands

India Intimate fashion Week (IIFW), dedicated to showcasing the...

Interviews View All

Abhishek Samdaria
Reflete

GST will certainly reduce a lot of paperwork in future

Sachin Sharma
Gem Enviro Management Pvt Ltd

There are no significant differences between virgin yarn and PET recycled...

Victor Chao
Esmetex

‘In future, clothing boundary lines will become increasingly blurred.’

Paolo Ocleppo
Sandvik Hyperion

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

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Ritu Kumar
Label Ritu Kumar

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

Mike Hoffman
Gildan Activewear SRL

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

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

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
February 2017

February 2017

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

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search