Delta Apparel Reports Climbing Sales, Earnings First Quarter
Delta Apparel, Inc. (UPIC: delta03) reports a 2.5 percent increase over the same period last year for fiscal 2016 first quarter, which ended January 2, 2016. The increase comes after adjusting for sales in the prior year quarter attributed to its since-divested The Game business. Net sales for the fiscal 2016 first quarter were $90.2 million compared to $93.4 million in fiscal 2015’s first quarter, before making the sales adjustment.
“Given all of the hard work our team has put in to implement our strategy of making Delta a more nimble and responsive company, our ability to operate profitably during the first quarter should come as no surprise,” says Robert W. Humphreys, Delta Apparel, Inc.’s chairman and CEO. “Over the past several quarters, we have improved our margins, reduced general and administrative expenses, and dramatically improved operating profit, net income and earnings per share. Earnings, excluding the $0.43 per share gain on the sale of The Game business, for the trailing 12-month period total $1.20 per diluted share and, based on the momentum we are seeing, we expect continued growth as the fiscal year continues.”
The Greenville, South Carolina supplier’s operating profits increased $5.4 million in the first quarter, to 2.5 percent of sales, compared to a $3.2 million loss during the same period in 2015. Its net income in first quarter 2016 was $681,000, against a net loss of $4.2 million in the prior year’s first quarter.
“We remain focused on initiatives that should improve our profitability and provide avenues of further growth,” says Humphreys. “Overall, we believe that the positive trends underlying our strong first quarter will continue, giving us a sense of prudent optimism about the remainder of the year.”
For more on Delta Apparel’s first quarter financials, click here.