(Filed Under Financial and General Interest News). Delta Galil Industries, Ltd. finished 2012 with record sales and earnings in its fourth quarter, leading to full year income of $56,977,000 on sales of $817,782,000 compared to income of $27,575,000 on sales of $678,819,000 in 2011.
Boasting of “all-time high sales, operating income and EPS,” in the final quarter of 2012, the public, Tel Aviv-based firm, reported “Sales reached $246.6 million" or "up 40% from the same period of 2011. Income was $13.9 million in the 2012 fourth quarter, a 66% increase from a year ago. Diluted earnings per share attributed to shareholders, excluding capital gains and non-recurring items, was $0.55 for the 2012 fourth quarter and $1.37 for the full year, up from $0.36 and $1.15, respectively, for the 2011 periods.”
The firm also noted that with its performance in the 4th quarter of 2012 it had “achieved its 13th consecutive quarter of year-over-year sales growth.”
The firm reported “Operating cash flow was $72.9 million for 2012, up 101% from $36.3 million in the prior year” and said it paid a dividend of approximately $2.5 million, or $0.1034 per share,” March 12, 2013. The firm also “completed the repurchase of approximately $1.3 million in Delta Galil common stock.”
Looking ahead, Delta stated “Financial guidance for 2013 calls for diluted EPS of $1.51-1.59 on sales of $910 million to $920 million.” The firm noted that it was “calling for higher EBIT and net profit than originally estimated, The following forecast excludes the effect of any one-time items, net of tax,” and provided the following summary:
· Full-year 2013 sales are estimated to range from $910 million to $920 million, which would constitute an average increase of 12% compared to 2012 actual.
· Full-year 2013 EBIT is estimated to range between $57 million and $62 million, which would constitute an average increase of 17% compared to 2012 actual.
· Full-year 2013 net profit is estimated to range between $38 million and $40 million, which would constitute an average increase of 15% compared to 2012 actual.
· Full-year 2013 diluted EPS is estimated to range between $1.51 and $1.59, which would constitute an average increase of 13% compared to the 2012 actual.”
Isaac Dabah, CEO of Delta declared, “We are very proud to achieve a consistent four years growth delivering exceptional top-line and bottom-line performance and made great strides in executing Delta Galil’s long-term strategies to transform the Company into a leading, diversified global competitor in branded and private label apparel.”
In explaining its “strong top-line growth in 2012” Delta pointed to its “acquisition of Schiesser Group, completed in July 2012, as well as a sharp increase in sales in Europe, mainly in Germany” and “positive momentum in the U.S. mass market channel.”
Pointing to its exceptional fourth quarter, 2012, the company reported “Operating income was $19.7 million in the fourth quarter of 2012, rising 73% from the $11.4 million reported in the same quarter of 2011. For the full year 2012, operating income excluding capital gains and non-recurring items was $50.7 million, compared to $39.7 million in 2011, a 28% increase. Net income attributed to shareholders was $13.8 million in the fourth quarter of 2012, compared to $8.3 million in the same quarter of 2011, a 66% increase. For the full year 2012, income attributed to shareholders excluding capital gains and non-recurring items was $33.8 million, rising 23% from $23.4 million in 2011.”
In a release that accompanied the financial statements, Delta noted “Results for the full year 2012 included a capital gain of $19.9 million from the sale of real estate, expenses of $1.2 million from the Schiesser acquisition, a net gain of $12.2 million due to negative goodwill attributed to Schiesser acquisition, partially offset by a write-down of unused fixed assets of $1.3 million, and restructuring expenses of $5.4 million.”
“In 2012 we delivered exceptional top-line and bottom-line performance and made great strides in executing Delta Galil’s long-term strategies to transform the Company into a leading, diversified global competitor in branded and private label intimate apparel,” continued Dabah. “We increased our branded business and our European footprint through the Schiesser acquisition, further penetrated the U.S. mass market channel, and expanded our socks category and U.S. kids business, through our recent acquisition of Little Miss Matched.”
“Our outlook for 2013 calls for Delta Galil to approach $1 billion in sales, accompanied by further growth in profitability. We plan to get there through continued organic growth in areas such as in Delta USA, Socks business and Delta Israel retail operations. “
Disclaimer: The views expressed in comments published on bodymagazine.us are those of the comment writers alone. They do not represent the views or opinions of Bodymagazine or its staff.
NOTE: Your Email will not be displayed.