Home / Knowledge / News / Apparel/Garments / Tailored Brands Q4 FY17 sales up 8.4% to $859.9 million
Tailored Brands Q4 FY17 sales up 8.4% to $859.9 million
16
Mar '18
Courtesy: Tailored Brands
Courtesy: Tailored Brands
For the fourth quarter of fiscal 2017, the net sales of Tailored Brands have increased 8.4 per cent to $859.9 million, including a $45.7 million benefit from the 53rd week. The company's retail net sales increased 6.6 per cent primarily due to an increase in retail segment comparable sales of 2.5 per cent and a $40.7 million benefit from the 53rd week. 

On a GAAP basis, consolidated gross margin was $320.9 million, an increase of $18.8 million, primarily due to the increase in net sales.  As a per cent of sales, consolidated gross margin decreased to 37.3 per cent.  On an adjusted basis, consolidated gross margin decreased primarily due to a decrease in retail gross margin rate.

Advertising expense for the fourth quarter of fiscal 2017 increased $1.2-$52.6 million but as a percent of sales to 6.1 per cent.  The increase in advertising expense was driven primarily by a shift in timing of marketing spend from the third quarter. On a GAAP basis, operating income was $13.3 million compared to an operating loss of $18.9 million last year. On an adjusted basis, operating income was $14.8 million compared to $9.3 million last year. As a percent of sales, adjusted operating margin increased to 1.7 per cent.

Total net sales for 2017 decreased 2.2 per cent to $3,304.3 million. Retail net sales decreased 1.5 per cent primarily due to the impact of last year's store closures partially offset by the $40.7 million benefit from the 53rd week and an increase in retail segment comparable sales of 0.1 per cent. On a GAAP basis, consolidated gross margin was $1,408.8 million, a decrease of $32.7 million, primarily due to a decrease in corporate apparel net sales. 

"In 2017, we delivered significant EPS growth and finished the year strong with positive comparable sales for both Men's Wearhouse and Jos A Bank in the fourth quarter," said Tailored Brands CEO Doug Ewert. "Our performance reflects the progress we are making on our key growth strategies.  We more than doubled our custom business to over $100 million in 2017.  We believe Tailored Brands is the largest and fastest growing retailer of men's custom clothing in North America and we plan to further enhance and differentiate our custom offering in 2018."

"We also significantly strengthened our balance sheet, reducing debt by approximately $200 million and lowering inventories by 11 per cent.  In 2018, we plan to further reduce our debt, invest behind our growth strategies and return cash to shareholders via our dividend. In 2018, we remain focused on executing three key growth strategies: expand our custom business and make buying a custom suit as easy and affordable as buying a suit off the rack, strengthen our brands and grow market share by communicating the quality selection and service we provide at a great value, and enhance our omni-channel experience by combining the high-touch service we offer in our stores with the convenience of online shopping," concluded Ewert. (RR)

Fibre2Fashion News Desk – India


Must ReadView All

Pic: Shutterstock

Apparel/Garments | On 20th Feb 2020

Bangla garment accessories sector may lose Tk 1500 cr

Bangladesh's garments accessories and packaging sector may incur a...

Pic: Shutterstock

Textiles | On 20th Feb 2020

CV outbreak lowered China's cotton consumption: USDA

The novel coronavirus (CV) outbreak and its potential ramifications...

Pic: paul prescott / Shutterstock.com

Textiles | On 20th Feb 2020

Sri Lanka's textile exports earn $5.596 bn in 2019

Sri Lanka’s earnings from textiles and garments exports increased by...

Interviews View All

Top executives, Textile industry

Top executives
Textile industry

Technical textiles industry moving back to Europe

Binoy Ravjani, Hero's Fashion

Binoy Ravjani
Hero's Fashion

‘One of the recent trends in hand block printing is the indigo process,...

Yash Agarwal, Hitansh Online

Yash Agarwal
Hitansh Online

Every market region has its own culture and trends

Ronald Van Den Broek,

Ronald Van Den Broek

Headquartered in Japan, Mimaki Engineering Co. Ltd. manufactures and...

Erik Sy,

Erik Sy

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

Oliver Schmitz,

Oliver Schmitz

Germany-based Gmöhling is a leading manufacturer of aluminium containers...

Daniel Odermatt, Ventile

Daniel Odermatt
Ventile

Ventile is a registered trademark used to brand a special high-quality...

Sachin Pendharkar, Dieffenbacher India Pvt Ltd

Sachin Pendharkar
Dieffenbacher India Pvt Ltd

Germany-based Dieffenbacher Group is a producer of high-quality composites ...

Silke Brand-Kirsch, Schlegel und Partner

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Chandani Sahi, By Chandani

Chandani Sahi
By Chandani

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

Seema Agrawal, Artisan Saga

Seema Agrawal
Artisan Saga

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

Nisha Chanda, Whistling Woods International School of Fashion

Nisha Chanda
Whistling Woods International School of Fashion

<div>A lack of upgraded courses in costume designing and fashion as per...

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