"The first quarter represents outstanding performances by all of our ongoing businesses across all areas of wholesale and retail. The high quality of our sales translated into solid margin expansion this quarter, resulting in a substantial 66% increase in operating income. Concurrently, our integration plans for our new footwear and jeans businesses are proceeding as we expected," said Roger Farah, President and COO.
Net revenues for the first quarter of Fiscal 2007 increased 27% as reported, or 19% excluding the effects of acquisitions, to $954 million compared to $752 million in the first quarter last year. The increase was driven by a 46% increase in reported wholesale sales, or 26% excluding the effects of acquisitions, and a 15% increase in retail sales, slightly offset by a 12% decrease in licensing revenues.
Gross Profit for the first quarter increased 28% to $532 million compared to $414 million in the first quarter of Fiscal 2006.
Operating income increased 66% to $133 million compared to $80 million in the first quarter last year. Operating margin was 14%, compared to 10.7% in the first quarter last year, an increase of 330 basis points.
Net income for the first quarter was $80 million, or $0.74 per diluted share, compared to net income of $51 million, or $0.48 per diluted share, for the first quarter of Fiscal 2006.
Fiscal 2007 Full Year Outlook:
-- Consolidated revenue growth is projected to be low to mid-teen percent.
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.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "UBM China (Shanghai)")
-Ltd..jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Thermore (Far East) Ltd.")
