Home / Knowledge / News / Textiles / Perry Ellis Q4 2018 revenue rises 11.3% to $227 million
Perry Ellis Q4 2018 revenue rises 11.3% to $227 million
21
Mar '18
Courtesy: Perry Ellis
Courtesy: Perry Ellis
The total revenue of Perry Ellis for the fourth quarter of fiscal 2018 has been recorded at $227 million, an 11.3 per cent increase (10.1 per cent increase on constant currency) compared to $204 million reported in the fourth quarter of fiscal 2017. This reflected increases across all segments, with particular strength in men's sportswear and Nike swim.

Fiscal 2018 total revenue was $875 million, a 2 per cent increase (2 per cent increase on constant currency) compared to $861 million in fiscal 2017. 

The disciplined management of inventory along with increased sales of higher margin core brands led to expansion in GAAP gross margin to 38.9 per cent in the fourth quarter of fiscal 2018 from 38.4 per cent.  Strength in the company's Perry Ellis, Golf Lifestyle Apparel and Nike swim business led to the margin increase. The adjusted gross margin was 38.9 per cent compared with adjusted gross margin of 38.7 per cent in the comparable period of the prior year.

Adjusted gross margin for fiscal 2018 was 37.8 per cent compared to 37.2 per cent in fiscal 2017. Gross margin was positively impacted during fiscal 2018 by favourable product performance, which led to increases in merchandising margin in the company's domestic businesses.

"We are pleased to continue the positive momentum for our brands and businesses in the final quarter of the year, delivering a double digit increase in total revenue, a 50 basis point expansion in gross margin and continued leverage in expenses which contributed to an almost doubling of GAAP pre-tax earnings compared to the fourth quarter of last year.  Our ongoing strength continues to validate the success of our strategy and the strong execution of our initiatives by our team with continuous innovation across our powerful global brands leading to strong acceptance of our product offerings around the world," Oscar Feldenkreis, chief executive officer and president, said

"The fourth quarter saw us direct our growth toward our higher margin core brands, channels and businesses which resulted in core brand sales increasing 19 per cent, international growth of 33 per cent, ecommerce sales rising and positive comparable sales. We remain excited about our outlook as we begin fiscal 2019 and expect the execution of our strategy along with the disciplined management of expenses and our balance sheet to result in another strong year for Perry Ellis International and its shareholders," added Feldenkreis.

The company's financial position continues to be very strong. Fiscal 2018 year-end cash and investments totaled $49.3 million. The company's net debt to total capitalisation stood at 10.7 per cent at fiscal 2018 year-end as compared to 17.2 per cent at the end of fiscal 2017. Working capital management continues to be a critical focus across the organisation as inventory turned at approximately 3.8 times for fiscal 2018.

For fiscal 2019, the company expects total revenue to be in the range of $855-$865 million from core sales of $843.6 million in fiscal 2018.  Excluding any potential expenses (which could be significant) to be incurred by the company in connection with the board of director's exploration and evaluation of potential strategic alternatives and the related February 9, 2018 proposal to acquire the company, diluted earnings per share are currently expected in the range of $1.80 to $1.90 assuming a tax rate of 25 per cent, which compares to core adjusted diluted earnings per share of $1.70 in fiscal 2018. (RR)

Fibre2Fashion News Desk – India


Must ReadView All

Sales tax reduced for Pak textile, leather sectors

Textiles | On 20th Nov 2018

Sales tax reduced for Pak textile, leather sectors

Pakistan’s Federal Board of Revenue (FBR) recently issued procedure...

US may include RMG in revised duty free Nepali items list

Apparel/Garments | On 20th Nov 2018

US may include RMG in revised duty free Nepali items list

The United States is interested to revise the list of Nepali products ...

Courtesy: Microsoft

Information Technology | On 20th Nov 2018

Gap partners with Microsoft for digital transformation

Gap has established a strategic partnership with Microsoft to drive...

Interviews View All

Headhonchos, Indian fashion industry

Headhonchos
Indian fashion industry

Cotton consumption will keep growing in the Indian fashion industry

Jurgen Gauger, Spreadshirt

Jurgen Gauger
Spreadshirt

‘Buying crowdsourced or creative designs are much more appealing to the...

Abhimanyu Singh Rathore & Barbara Anna Kosiorek, Kannbar

Abhimanyu Singh Rathore & Barbara Anna Kosiorek
Kannbar

‘Blending cultures is the true beauty of fashion, where one’s imagination...

Shivani Swamy,

Shivani Swamy

The Livinguard Technology is owned by Green Impact Holding AG based in...

Ravindra Jain, Ashish Baid,

Ravindra Jain, Ashish Baid

Oswal Prints Private Limited has been manufacturing and exporting ethnic...

Fan Liyuan,

Fan Liyuan

Chinese company Jiangsu Yingyang Nonwoven Machinery, established in 1993,...

Mr Ambrose Chan, DSG International (Thailand) PLC

Mr Ambrose Chan
DSG International (Thailand) PLC

Kevin Nelson, TissueGen

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Georg Reinhold, Trützschler  Nonwovens & Man-Made Fibers

Georg Reinhold
Trützschler Nonwovens & Man-Made Fibers

Trützschler Nonwovens & Man-Made Fibers, a part of the Trützschler Group,...

Pranav Mishra, Huemn

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Wendell Rodricks, Wendell Rodricks

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Adriano Goldschmied, AG Jeans

Adriano Goldschmied
AG Jeans

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

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


November 2018

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

news category


Related Categories:

Advanced Search