(Filed Under Financial and General Interest News). Delta Galil sales in the third quarter rose 4% while net income rocketed 31% as the company completed the acquisition, from VF, of the three brands 7 For All Mankind, Splendid and Ella Moss.

For the three months ended September 30th, the company earned $17.7 million on sales of 296.6 million, compared to $13.4 million on sales of $284.6 million in the same quarter last year.

“We are happy with the completion of the acquisition of Premium Brands, and believe it will be a significant long-term growth engine,” declared CEO Isaac Dabah. “The acquisition will contribute to our diversification and will help introduce new categories and new customers. The company continues to focus on attaining overall double digit EBIT growth in 2017 and beyond.”

“Importantly, through this new business segment, we are growing our product offering and entering new categories, which is enabling us to reach new customers as well as strengthen our relations with existing ones – all while expanding our global reach.”

Dabah continued, “Our third quarter results demonstrate the strength of our business model, which is built on a diverse portfolio of branded and private label products, an expanding global presence, and a range of market segments that, together, provide both growth momentum and balance. We saw a strong contribution from our recent addition,” of the new brands from VF. He added that “despite the expected soft U.S. market, we experienced strong growth in Europe and Israel.”

“During the quarter, we focused on consolidating Premium Brands into our business, while taking important measures and implementing the necessary efficiencies to both streamline and strengthen the brands to best position them for growth. Also during the quarter, we appointed retail and fashion leader Paula Schneider, who is renowned for building profitable businesses and improving efficiencies for contemporary brands, to oversee this business and execute our ambitious goals for these brands.”

“Looking ahead, in addition to maximizing the benefits of this new acquisition, we expect our new Vietnamese factory to contribute to our growth beginning in 2017, and we are on track to open our new seamfree and cut and Sew factories in the fourth quarter.”

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Published 11-23-2016 by -