Gildan Posts Revenue And Profit Increases
Net Sales Reached $548.8 Million
Montreal, Canada-based apparel supplier Gildan Activewear (asi/56842) announced last week that it achieved increases in both sales and profits in its most recent quarter. The company said that its net sales reached $548.8 million, growth of 4.9%, in its fiscal second quarter, which ended on March 30, 2014. Gildan also reported that its net earnings in the period increased by 8.9% to $79.2 million.
“The growth in sales and [profits] in the second quarter compared to last year was achieved in spite of the impact of colder weather which negatively impacted demand for T-shirts and contributed to soft retail market conditions,” the company said in a statement. “[Our] results reflected strong growth in sales of underwear to U.S. retailers, increased sales to global lifestyle brands and international printwear markets. These positive factors were partially offset by higher cotton costs compared to the second quarter of last year.”
The company also said that revenues in its Printwear business segment, which includes sales to decorators and ad specialty distributors, increased by 2.9% in its fiscal second quarter. Gildan further reported that its Printwear unit volumes in the second quarter were essentially flat compared to last year, as higher sales volumes in international markets were offset by lower shipments in the U.S. and Canada.
For full-year 2014, Gildan upped its sales guidance, as it expects to record $2.4 billion in overall sales and $1.55 billion in revenues from its Printwear segment.