US clothing firm HanesBrands sales rise 13% in Q2

HanesBrands, a US-based global marketer of branded everyday basic apparel, has reported 13% sales growth to $1.7 billion in Q2 FY21 ended on July 3, compared to the sales of $1.5 billion in same period of the previous fiscal year. However, net income for the quarter slipped to $128.6 million (Q2 FY20: $161.2 million).

 
“Our iconic brands continue to resonate with consumers around the world, and I’m very encouraged by the progress on our full potential growth plan,” Steve Bratspies, chief executive officer at HanesBrands, said.
 
Gross profit for Q2 FY21 totalled to $681.6 million (up from $513.8 million), while operating profit rose to $217.4 million ($202.1 million). The company’s income from operations surged to $147.8 million ($136.5 million).

Segmentally, sales of innerwear dropped 29% to $780.6 million (from $1 billion) due to the overlap of last year’s $614 million of PPE sales. However, activewear sales advanced 140% to $404.2 million ($168.4 million). Furthermore, HanesBrands' international sales jumped 90.6% to $478.9 million ($251.3 million) with strong growth in Australia, the Americas, Europe and Asia Pacific driven by strong consumer demand and the overlap of last year’s Covid-related shutdowns.
 
For the complete fiscal year, the company has raised its forecast and now expects net sales from continuing operations of approximately $6.75 billion to $6.85 billion, which is $550 million above its prior range of $6.2 billion to $6.3 billion.