Home / Knowledge / News / Textiles / Dixie Group Q1 2017 net sales up 9.3% to $97 mn
Dixie Group Q1 2017 net sales up 9.3% to $97 mn
07
May '17
The Dixie Group, Inc. has reported that for the quarter ended April 1, 2017, it had net sales of $97.541 million or 9.3 per cent above sales of $89.234 million in Q1 2016. The company had a loss from continuing operations of $575,000 for the first quarter of 2017 as compared to a loss from continuing operations of $4.757 million in 2016.

The company's interest expense for the quarter was $1.4 million as compared to $1.3 million in the first quarter of 2016. Its income tax benefit rate was 22.1 per cent for the quarter. For the first quarter of 2017, its receivables increased by $7.6 million on higher sales activity. The inventories increased seasonally by $6.3 million.

Capital equipment acquisitions, including those funded by cash and financings, totalled $3.8 million for the quarter. Depreciation and amortisation for the period was $3.2 million. We have budgeted capital expenditures for 2017 of approximately $9 million and depreciation and amortisation of approximately $13.3 million. Our debt stood at $120.7 million at the end of the quarter.

"Though the first quarter of the year is historically our weakest quarter, this year our sales were substantially stronger as compared to the same period in 2016. Our floor covering sales were up over the first quarter of 2016 by 11.9 per cent while we estimate the industry was flat for the same comparative period. Sales of residential products increased 12.7 per cent in the first quarter of 2017 versus the same period in 2016 while we believe the industry was up only slightly for the year over year period. Our commercial product sales, largely led by modular carpet tile, increased 10.4 per cent in 2017 versus 2016 while the industry sales, we believe, were off in the low single digits," said Daniel K Frierson, chairman and chief executive officer, Dixie Group.

Dixie Group's cost structure improved significantly on the higher sales and production volumes. Additionally, it significantly reduced its quality related expenses across both the residential and commercial product lines. Offsetting these gains were substantial increases in medical costs as well as other people related costs.

The company is completing the startup of its expanded yarn processing capabilities in the Atmore, Alabama commercial facility. These changes should improve the response time and further lower the cost of the make to order production model. In the second quarter, it will complete the startup of its carpet and yarn beck dyeing operations in the north Georgia Colormaster facility. This will complete the centralisation of all of the company's east coast internal and external dyeing needs into a single facility. (KD)

Fibre2Fashion News Desk – India


Must ReadView All

Pakistan’s FBR imposes 5% sales tax on cotton import

Textiles | On 21st Jul 2018

Pakistan’s FBR imposes 5% sales tax on cotton import

Pakistan’s Federal Board of Revenue recently withdrew sales tax...

Bangladesh drafts policy for Tk1,000 cr govt jute fund

Textiles | On 21st Jul 2018

Bangladesh drafts policy for Tk1,000 cr govt jute fund

Bangladesh will set up a Tk10,000-crore Jute Sector Development Fund...

Ahmad A. Al Sa’adi and Kwon Pyung-Oh display a comprehensive Memorandum of Understanding; Courtesy: Saudi Aramco

Textiles | On 21st Jul 2018

Saudi Aramco, KOTRA sign MoU for business cooperation

Saudi Aramco has signed an MoU with the Korea Trade-Investment...

Interviews View All

Manuj Terapanthi
Texaura

Transparent supply chain and fair trade will boost sustainable market

Prabu Mohanram
Balavigna Weaving Mills Pvt Ltd

The biggest challenge that the weaving industry faces is high price

Saket Garg
Garg Corporation

The biggest challenge is lack of skilled workforce and competition from...

Erik Sy

Manila-based CustomThread is a start-up offering premium custom apparel...

Riddhi Jain

Conceived in Europe and curated in New Delhi, NeceSera is a...

Harsh Shah

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

Marcel Alberts
Eurofibers

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

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Johan Berlin
InvestKonsult Sweden AB

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

Igor Chapurin
Chapurin

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

Robert Brunner
Devereux

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

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, 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

Leave your Comments


July 2018

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

news category


Related Categories:

Advanced Search