Delta Apparel reports sales growth, double net income for Q3 2015

By

Obi Anyanwu

Published
Aug 25, 2015

Delta Apparel, an international design, marketing, manufacturing, and sourcing company with a portfolio of lifestyle basic and branded activewear apparel and headwear, has released its third quarter results ending on June 27th, 2015.

 
Commenting on the Company's third quarter results, Robert W. Humphreys, Delta Apparel, Inc.'s Chairman and Chief Executive Officer, said, "We are pleased that Delta Apparel not only turned the corner in terms of sales and net income growth, but showed vast improvement in other areas such as gross margin development, general and administrative cost reductions, and operating margin expansion. The strategic initiatives that we began implementing twelve months ago have proven successful in regards to cost savings, efficiency, profit growth, and better service to our customers.”
 
The company reported a net sales growth of 1.7% excluding its recent sale of The Game branded business. Without the exclusion, the company witnessed net sales of $120.5 million compared to $123.5 million in third quarter 2014. The company’s basics segment were $79 million compared to $75.8 million in the previous year. Activewear sales increased 3.6% year-over-year, and the e-commerce business, Art Gun, increased sales 26.2% to $2.9 million.

Ads

Net income doubled for Delta, however. The company reported $4.4 million for the quarter, compared to $2.2 million in the previous third quarter.
 
For the first nine months of fiscal 2015, Delta reported net sales of $328.9 million compared to $338 million in the previous nine-month period. The sale of The Game contributed to sales decline. The company’s branded segment reported net sales of $41.5 million compared to $47.7 million in the previous third quarter.