Home / Knowledge / News / Fashion / R.G. Barry generates healthy sales despite difficult conditions
R.G. Barry generates healthy sales despite difficult conditions
04
May '09
R.G. Barry Corporation, the Dearfoams company reported a 4.4% increase in net sales and per share earnings of $0.01 for its third quarter ended March 28, 2009.

For the quarter, the Company reported:
• Net earnings of $123,000, or $0.01 per basic and diluted share, compared to net earnings of $1.2 million, or $0.11 per basic share and diluted share, in the third quarter of fiscal 2008;
• Net sales of $21.1 million, compared to $20.2 million reported for the corresponding period of fiscal 2008; and
• Gross profit as a percent of net sales of 33.5 percent versus 39.5 percent in the comparable quarter one year ago.

For the nine months:
• Net earnings were $7.3 million, or $0.69 per basic share and $0.68 per diluted share, versus net earnings of $9.1 million, or $0.87 per basic share and $0.85 per diluted share, in the comparable period one year ago;
• Net sales rose to $95.6 million versus $91.0 million one year ago; and
• Gross profit as a percent of net sales was 38.2 percent versus 41.6 percent in the comparable period of fiscal 2008.

The Company's balance sheet continues to present a strong picture of financial health:
• Cash and short-term investments totaled $35.1 million, up from $28.0 million one year ago;
• Although collections from customers remain on target, accounts receivable increased $4.5 million from the same period a year ago, reflecting higher shipments and the timing of processing customer deductions;
• Inventory declined by approximately 18 percent to $11.5 million versus $14.1 million at the end of the third quarter of fiscal 2008; and
• Total shareholders' equity was $54.0 million, up from $46.0 million in the comparable period one year ago.

Management Comments
“We are pleased with the gains reported today, and we remain confident about the overall direction of our business,” said Greg Tunney, President and Chief Executive Officer. “This is our seventh consecutive quarter of positive earnings and healthy sales despite the most difficult economic conditions in recent memory and retail's continuing loss of doors to bankruptcies, closings and consolidations.

“Our vision is well-defined. We are operating from a position of strength. The advantages of category leadership, distribution across multiple retail channels, a growing brand portfolio, a pristine balance sheet and a strong cash safety net offer us tremendous flexibility and opportunity during a time when others are struggling.

As a result, we continue taking market share from competitors and gaining toeholds with new customers. We are investing in our proprietary brands, aggressively seeking category-appropriate acquisitions that will broaden our reach in the accessories arena and continuing to refine and focus the private label and licensed portions of our business.

“The contraction in gross profit percentage evident in today's report was not unexpected. The erosion is the residual impact of inflationary pressures experienced last year when we locked in pricing with our suppliers, increased promotional support for retailers during the difficult 2008 holiday season and a shift in third quarter product mix to lower margin channels. We expect the gross profit percentage to improve in fiscal 2010.

“Looking ahead, we are quite confident that our existing businesses and long-range growth strategies will allow us to continue to be consistently among the top performers in our category,” Mr. Tunney concluded.

R.G. Barry Corporation


Must ReadView All

Digital textile printing sector to grow by 20% by 2020

Textiles | On 18th Jun 2018

Digital textile printing sector to grow by 20% by 2020

The digital textile printing sector is expected to have a compound...

Courtesy: Hela Clothing

Apparel/Garments | On 18th Jun 2018

Hela's latest label revolves around underwear, sleepwear

The latest collection of Sri Lanka’s Hela Clothing is revolves mostly ...

Kenya levies higher duties on mitumba import

Apparel/Garments | On 18th Jun 2018

Kenya levies higher duties on mitumba import

Kenya’s treasury secretary Henry Rotich recently raised the duty on...

Interviews View All

Manfred Mentges
Sedo Treepoint GmbH

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

Janak Dhamanwala & Sunil Dhamanwala
Jansun

Moving towards sustainability is also a social change

Ghanshyam Ghoghari
Kimora Fashion

Bridalwear is not about reds and whites anymore

Vikas Banduke

Softech Controls Private Limited (SCPL) is a part of the Cotmac Group, an...

Harsh Shah

Fynd is the central online shopping destination for fashion, offering...

Harmeet Singh

New Delhi-based Jogindra Industries Private Limited provides an assortment ...

Marcel Alberts
Eurofibers

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

Lynda Kelly
Suominen Corporation

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

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Rupa Sood and Sharan Apparao
Nayaab

Nayaab, an exhibition meant to celebrate Indian weaves, is in its second...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Jay Ramrakhiani
Occasions Elegance Wear

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

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

Leave your Comments


June 2018

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

news category


Related Categories:

Advanced Search