Home / Knowledge / News / Company / Danier Leather reports fiscal 2010 Q3 results

Danier Leather reports fiscal 2010 Q3 results

04
May '10
Danier Leather Inc. announced its unaudited interim consolidated financial results for the 13 week and 39 week periods ended March 27, 2010.

Q3 Highlights

• Comparable store sales increased by 11%
• Gross profit dollars increased by 36%
• EBITDA increased by $5.0 million
• Cash increased by $7.7 million to $32.3 million from $24.6 million in the third quarter last year
• 1,120,000 Subordinate Voting Shares repurchased under a Substantial Issuer Bid

Net earnings during the third quarter of fiscal 2010 were $2.8 million ($0.48 per diluted share) compared with a net loss of $2.3 million ($0.37 loss per diluted share) during the third quarter last year. The third quarter of last year included staff reduction costs of $1.4 million ($1.0 million after tax, or $0.16 per diluted share) and a goodwill impairment charge of $0.3 million ($0.05 per diluted share). Therefore, adjusted net earnings, which excludes staff reduction costs and the goodwill impairment charge (and income taxes related to the restructuring costs and goodwill impairment charge), was $2.8 million for the third quarter of fiscal 2010 compared with an adjusted net loss of $1.0 million during the third quarter of fiscal 2009.

Sales for the third quarter of fiscal 2010 increased by 8% to $46.9 million from $43.5 million in the third quarter last year. Comparable store sales increased by 11%. Gross profit margin increased by 1,070 basis points to 52.1% from 41.4% resulting in a gross profit dollar increase of 36% or $6.4 million to $24.4 million from $18.0 million during the third quarter last year. The increase in gross profit margin was mainly due to improved merchandise planning and purchasing, a stronger Canadian dollar and reduced markdowns as compared with the third quarter last year.

Selling, general and administrative expenses ("SG&A") during the third quarter of fiscal 2010 increased by $1.1 million. The increase was due to higher performance-based compensation for store and head office staff and increased stock-based compensation primarily resulting from an increase in the Company's share price.

For the year-to-date period, net earnings increased by $7.4 million to $7.9 million ($1.33 per diluted share) compared with net earnings of $0.5 million ($0.07 per diluted share) for the corresponding period last year. As mentioned above, the third quarter of last year included staff reduction costs and a goodwill impairment charge. Therefore, adjusted net earnings for the year-to-date period were $7.8 million ($1.32 per diluted share) compared with $1.8 million ($0.28 per diluted share) during the same period last year.

Year-to-date sales increased by 2% to $137.4 million compared with $135.1 million for the corresponding period last year. Year-to-date comparable store sales increased by 5%. Gross profit as a percentage of revenue for the 39 week period ended March 27, 2010 increased by 770 basis points to 52.7% compared with 45.0% during the same period last year and year-to-date SG&A was $60.5 million compared with $58.3 million last year.


Must ReadView All

Pic: Shutterstock

Apparel/Garments | On 18th Jan 2021

Workplace injuries, death declined in Bangladesh in 2020

Bangladesh witnessed 433 instances of workplace injury and 729 deaths ...

Pic: Shutterstock

Apparel/Garments | On 18th Jan 2021

Philippine garments, hard goods exports likely to grow 15%

Exports of garments and hard goods in the Philippines are likely to...

Pic: Aptos

Information Technology | On 18th Jan 2021

Aptos acquires software company LS Retail

Aptos, a leader in retail technology solutions, has announced that it ...

Interviews View All

Top executives, Textile industry

Top executives
Textile industry

It will take some time for the people to change their buying choices

Yashiki Gumber, Sahiba Fabrics

Yashiki Gumber
Sahiba Fabrics

Fabric does not restrict us from fashion trends

Mukesh Agarwal & Rajesh Agarwal, Madhuram Fincap Pvt Ltd

Mukesh Agarwal & Rajesh Agarwal
Madhuram Fincap Pvt Ltd

Increasing prices and lack of demand main issues facing industry

Erwin Devloo,

Erwin Devloo

Picanol develops, produces and markets high-tech weaving machines, based...

Harsh Shah,

Harsh Shah

Established in 1956 with a small beginning, Embee today manufactures a...

Saad Khaled Bari,

Saad Khaled Bari

Benetex Industries is a public ltd company established in year 1992 to...

Daniel Odermatt, Ventile

Daniel Odermatt
Ventile

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

Madison Maxey, Loomia

Madison Maxey
Loomia

Loomia designs and manufactures soft circuit systems that can be produced...

Alfonso Marra, Klopman

Alfonso Marra
Klopman

It was in 1968 that Klopman introduced the concept of poly/cotton workwear ...

Ruma Devi, Gramin Vikas Evam Chetna Sansthan

Ruma Devi
Gramin Vikas Evam Chetna Sansthan

Ruma Devi is a jet-setting promoter of artisans who has empowered...

Sidharth Sinha, Sidharth Sinha

Sidharth Sinha
Sidharth Sinha

<b>Sidharth Sinha</b> has contributed to the successful rebirth and...

Bani Batra,

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

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


January 2021

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


Advanced Search