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A look from Tommy Hilfiger. Tommy Hilfiger at D2. Nearly Nude at D2. Tommy Hilfiger at Delta Galil.
A look from Tommy Hilfiger.

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Tommy Hilfiger at D2.

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Nearly Nude at D2.

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Tommy Hilfiger at Delta Galil.

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current news

Delta Galil: Sales Rise 6%, Income Drops 4%


(Filed Under Financial and General Interest News). Sales at Delta Galil rose 6% for the three months ended March 31st but net income fell 4%. “Sales increased to $252.8 million in the 2015 first quarter, an increase of 13% in original currency,” the Israel-based intimate apparel giant pointed out, noting the effect of currency exchange rates on its net sales results. It added, “Operating income was $15.3 million in the 2015 first quarter, growing 3% from the comparable period a year ago.”

“The strongest contributors to our sales growth globally have been North America, Germany and Israel,” stated CEO Isaac Dabah. “Branded products continue to contribute a larger proportion of our sales, reflecting our strategy to grow this aspect of our business in recent years. We also are benefiting from our focus on activewear, which is one of the fastest growing segments of the apparel industry, and where our strengths in seamless products and innovative fabrics provide Delta Galil with a sharp competitive edge.”

Net income for the period was $8,889,000 on sales of $252,838,000 compared to $9,330,000 on sales of $238,074,000 for the period ended March 31, 2014. Looking ahead, the company stated, “Full-year 2015 sales are expected to range between $1,065 million-$1,085 million, representing an increase of 3%-5% (equivalent to 7% to 9% in constant currency) from 2014 actual sales of $1,031.9 million.” It added that “Full-year 2015 net income is expected to range between $48.5 million-$51.5 million, representing an increase of 0%-6% from 2014 actual net income of $48.4 million; excluding the exchange rate impact the increase is between 12%-18%.”

Dabah added, “Delta Galils performance in 2015 will benefit from new products and licensing relationships with leading brands that we have launched during the first quarter of 2015, such as Lacoste and Marc O’Polo. In activewear, we have licenses with Avia and Kenneth Cole, and a design and manufacturing agreement with Asics, among others. We also are continuing to invest in additional manufacturing capacity, as well as in our retail stores in Europe and Israel. And, with a solid cash position of $145.3 million, we have the financial resources to support our investments in innovation, growth and progress.”


more Financial and General Interest News >>

Published 05-13-2015 by Nick Monjo

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