Home / Knowledge / News / Danier enters seasonally slower Q4 with improved inventory position
Danier enters seasonally slower Q4 with improved inventory position
16
Aug '10
Danier Leather Inc. announced its consolidated financial results for the fourth quarter and fiscal year ended June 26, 2010.

Fiscal 2010 Full Year Highlights

• EBITDA more than tripled to $15.2 million from $4.3 million last year
• Comparable store sales increased by 4%
• Gross profit dollars increased by 18% on a 740 basis point increase in gross margin
• Earnings per outstanding share of $1.58
• Repurchased 1,352,700 Subordinate Voting Shares or 28.9% of the prior year's outstanding Subordinate Voting Shares

Gross profit dollars increased by $1.6 million or 13% to $14.3 million compared with $12.7 million during the fourth quarter last year. Danier entered the seasonally slower fourth quarter with an improved inventory position compared with the prior year and, accordingly, management decided to reduce promotional activity and markdowns and focus on gross margin and gross profit dollar improvement.

Fourth quarter sales decreased by 1% while comparable store sales decreased by 2%. Net loss for the fourth quarter of fiscal 2010 decreased by approximately $2.1 million to $0.7 million, or $0.14 loss per outstanding share, compared with a net loss of $2.8 million, or $0.47 loss per outstanding share, during the fourth quarter last year. EBITDA loss for the fourth quarter of fiscal 2010 was $0.4 million which represents a $2.0 million decrease from last year's EBITDA loss of $2.4 million.

Selling, general and administrative expenses ("SG&A") during the fourth quarter of 2010 decreased by $1.1 million, mainly due to reduced head office and retail staff wages and administrative expenses and lower amortization.

Year-to-date sales increased 1% or $2.1 million to $164.2 million, while comparable store sales increased by 4%. Year-to-date net earnings were $7.2 million ($1.28 per diluted share) and represent a $9.5 million increase as compared with a net loss of $2.3 million (or $0.37 loss per diluted share) last year. Year-to-date earnings per share based on outstanding shares at year-end were $1.58 compared with a $0.39 loss per share last year. Year-to-date EBITDA more than tripled to $15.2 million compared with $4.3 million last year.

Year-to-date gross profit as a percentage of revenue increased by 740 basis points and was 52.8% compared with 45.4% during fiscal 2009. The year-to-date gross margin rate increase was mainly due to improved merchandise planning and purchasing, a stronger Canadian dollar and reduced markdowns as compared with last year. Year-to-date SG&A increased by 2% or $1.2 million to $75.9 million compared with $74.7 million last year.

This increase was due primarily to higher performance-based compensation for store and head office staff and increased stock-based compensation primarily resulting from an increase in the Company's share price. Excluding the increase in performance-based and stock-based compensation, SG&A decreased by $3.2 million.

Must ReadView All

Textiles | On 20th Feb 2017

UK textile & apparel exports up 7.05% in 2016: UKFT

The exports of apparel and textiles from the UK have increased by...

Textiles | On 20th Feb 2017

Himatsingka Seide incorporates subsidiary in Europe

Himatsingka Seide Ltd, one of the largest producers of home textiles...

Courtesy: Green Initiatives

Apparel/Garments | On 20th Feb 2017

Green Initiatives launches Re:Form to end textile waste

Green Initiatives, a non-government institution, has launched...

Interviews View All

Victor Chao
Esmetex

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

Divyesh Mashruwala
Akshar Industries

Surat dominates foiling, embossing and pleating

Arvind Saraf
Triveni Sarees

e-Commerce is still evolving fast with constant flux and surprises

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Johan Berlin
InvestKonsult Sweden AB

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

Paolo Ocleppo
Sandvik Hyperion

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

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Silvia Venturini Fendi
Fendi s.r.l

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

Tony Ward
Tony Ward

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

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