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

Trump announces tariffs on $200 bn worth Chinese imports

Apparel/Garments | On 18th Sep 2018

Trump announces tariffs on $200 bn worth Chinese imports

US President Donald Trump escalated the trade war with China on...

Courtesy: Sunrise Bumi Textiles

Textiles | On 18th Sep 2018

Sunrise Bumi developing new products for profitability

Sunrise Bumi Textiles, one of the world's leading quality yarn...

New Zealand bans sheep mulesing

Textiles | On 18th Sep 2018

New Zealand bans sheep mulesing

New Zealand has banned the practice of mulseing sheep, making the...

Interviews View All

Nuno Venda, ROQ

Nuno Venda
ROQ

‘There has been an increase in demand for water based inks, rather than...

Riddhika Shah, SS Homme

Riddhika Shah
SS Homme

'Worsted wool is the ideal fabric for menswear'

Nitin Soni, Dolphin Jingwei Machines

Nitin Soni
Dolphin Jingwei Machines

Taxation policies need to be made simpler

Ramez Basmaji,

Ramez Basmaji

Fabusse is a Lebanon-based fashion agency that offers a variety of...

Abhishek Pachauri,

Abhishek Pachauri

Reckon Industries is into manufacturing of textile process house machines, ...

Ashish M Amin,

Ashish M Amin

Premier Looms is a leading provider of cutting-edge machinery and...

Silke Brand-Kirsch, Schlegel und Partner

Silke Brand-Kirsch
Schlegel und Partner

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

Dave Rousse, INDA

Dave Rousse
INDA

INDA, the Association of the Nonwoven Fabrics Industry, serves hundreds of ...

Kai Poehler, Voith Paper GmbH & Co. KG

Kai Poehler
Voith Paper GmbH & Co. KG

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

Adriano Goldschmied, AG Jeans

Adriano Goldschmied
AG Jeans

The hype around 'designer jeans' was created by him. And the new wave of...

Madhu Jain, Madhu Jain

Madhu Jain
Madhu Jain

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

Yash P. Kotak, Bombay Hemp Company

Yash P. Kotak
Bombay Hemp Company

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

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


September 2018

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

news category


Related Categories:

Advanced Search