(Filed Under Financial and General Interest News). Gildan Activewear Inc. posted a third-quarter profit of $94.1 million, or 77 cents a share, up from $64.7 million, or 53 cents a share, in comparable period of 2010.
Despite the company’s better-than-expected earnings, Gildan did lower its full-year guidance to approximately $2 a share on sales of $1.7 billion, down from projected earnings of $2.10 a share on sales of $1.8 billion. The activewear producer also stated it initiated promotional discounting in the U.S. market to stimulate industry demand.
Net sales increased 34 percent to $529.8 million, while gross margin came to 28.3 percent, versus 27.1 percent in last year’s third quarter.
Gildan stated fourth-quarter expectations of revenue slightly below $500 million with earnings close to 40 cents per share and a gross margin of 22 percent.
Montreal, Quebec-based Gildan Activewear Inc. is a vertically integrated manufacturer of basic apparel with a presence in Canada, the U.S., Europe, Mexico and the Asia-Pacific region.
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