Home / Knowledge / News / Apparel/Garments / Differential Brands gross profit climbs 13% in Q4 FY17
Differential Brands gross profit climbs 13% in Q4 FY17
07
Apr '18
Courtesy: Differential Brands
Courtesy: Differential Brands
The gross profit of Differential Brands for the fourth quarter of 2017 increased $2.1 million, or 13 per cent, to a total of $18.9 million, compared to $16.8 million in the fourth quarter of fiscal 2016, primarily related to the comparable increase in sales volume. Total company gross margin was 41.9 per cent compared to 39.9 per cent in Q4 of 2016.

Gross profit was $71.8 million for the year ended December 31, 2017 compared to $61.3 million for the same period last year. Total company gross margin was 43.7 per cent compared to 41.1 per cent for the year ended December 31, 2016.

The company's net sales for the three months ended December 31, 2017, increased 7 per cent to $45.1 million, reflecting a 6 per cent increase in wholesale segment sales and an 8 per cent increase in consumer direct segment sales. The wholesale increase was driven by 40 per cent growth at Swims, as well as by modest growth from the Hudson brand, primarily at full price specialty store doors. Robert Graham Wholesale was down marginally for the quarter, (1 per cent year over year) due primarily to the timing of certain off-price shipments that were moved into January 2018. The increase in the consumer direct segment was led by retail store growth of 10 per cent.

Total company net sales for year ended December 31, 2017, increased 10 per cent to $164.1 million compared to $149.3 million in the prior year, reflecting a 9 per cent increase in wholesale segment sales and a 9 per cent increase in consumer direct segment sales.

"I am pleased to report that all of our brands produced positive total comparable sales, improved margin dollars, expanded margin rates and leveraged SGA during the fourth quarter, 2017. We were also very pleased with the momentum of our consumer direct business, especially the continued progress of our Robert Graham stores during the quarter, which were up 7 per cent for the quarter on a comparable basis with store net sales momentum continuing into Q1 2018. Robert Graham ecommerce, in particular, saw both more traffic and a greater conversion rate during the 4th quarter. Swims continued to compound its top line, growing 40 per cent during the quarter as a result of European growth and the opening of an additional store during the quarter compared to the same quarter last year. Swims also continued to expand its US based brand awareness and distribution points. Lastly, Hudson continued to post solid wholesale performance, increasing wholesale channel sales by 5 per cent," Michael Buckley, chief executive officer, said.

"For the upcoming 2018 fiscal year, we have planned several key initiatives within each of the respective brands. At the Hudson brand, we plan to test limited retail stores in the United States and we are in development of a new line of sportswear to complement our denim products for the Fall 2018 season. We are also investing in additional sales staff at Hudson to help grow our diversified and important specialty store business across the country. At Robert Graham, we are adding additional catalog drops and circulation, as well as expanding the Robert Graham assortment, through licensing, to include home furnishings and additional accessory styles. Lastly, at Swims we are offering an expanded assortment of footwear starting Spring 2018, to go along with our outerwear line in Europe for Fall 2018. We also will be adding our first full price Swims store at a key high street location in Oslo, Norway in Fall 2018,". Buckley concluded. (RR)

Fibre2Fashion News Desk – India


Must ReadView All

Pic: Shutterstock

Textiles | On 27th Feb 2020

Australia willing to consider FTA with India on RCEP lines

Australia is willing to consider a bilateral free trade agreement...

Pic: Shutterstock

Apparel/Garments | On 27th Feb 2020

Hun Sen asks PRC garment investors not to leave Cambodia

Prime Minister Hun Sen recently again told Chinese garment sector...

Pic: B.Zhou / Shutterstock.com

Retail | On 27th Feb 2020

Retail brands restrict China operations amid COVID-19

The outbreak of COVID-19 is disrupting business dynamics in China....

Interviews View All

Smita Murarka, Amanté

Smita Murarka
Amanté

‘There is huge demand in the Indian lingerie market for non-wired styles.’

Karel Williams, Dow Microbial Control

Karel Williams
Dow Microbial Control

'Silvadur is most rapidly adopted in areas where hygiene-conscious and...

Top executives, Textile & apparel bodies

Top executives
Textile & apparel bodies

The decision to reduce GST on MMF yarn to 12% is transformational

Umang Banthia,

Umang Banthia

Established in 2005, SL Banthia Textiles manufactures coated fabrics....

Wesly Clements,

Wesly Clements

US-based Baldwin Technology Company is a global manufacturer and supplier...

Luciano Sardini,

Luciano Sardini

A consolidated reality in Italy and internationally, IMA Spa is well-known ...

Eamonn Tighe, Nature Works LLC

Eamonn Tighe
Nature Works LLC

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

Larry L Kinn, Suominen Corporation

Larry L Kinn
Suominen Corporation

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

Robin Grankvist, OrganoClick AB

Robin Grankvist
OrganoClick AB

Robin Grankvist talks about PFCs, additives and various chemicals used in...

Seema Agrawal, Artisan Saga

Seema Agrawal
Artisan Saga

Artisan Saga, founded by Kaushik Rajani and Seema Agrawal, is an online...

Chandani Sahi, By Chandani

Chandani Sahi
By Chandani

By Chandani is a womenswear prêt couture brand with fusion silhouettes by...

Judy Frater, Somaiya Kala Vidya

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

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


February 2020

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


Advanced Search