Delta Apparel Releases Fourth Quarter, 2015 Fiscal Year Results
After adjustment for the sale of The Game, net sales for the branded segment grew 1.4 percent percent during the fourth quarter of fiscal year 2015 compared to the prior year period. On an unadjusted basis, fourth quarter net sales were $45.8 million compared with $53.5 million in the prior year period, with all business units experiencing gross margin expansion. Salt Life increased net sales by 10 percent while Junk Food grew by 7 percent, but Soffe, which achieved solid growth in the independent sporting goods channel, had an 11 percent decrease in net sales for the quarter compared with the prior year period due to a decline with big-box sporting goods retailers. Soffe expects to launch a new business-to-business website in early calendar year 2016 to enhance growth opportunities in the independent sporting goods channel.
“Looking ahead, we believe there will be a continuation of the soft retail environment, but, regardless, we believe we are positioned to further improve our operating results in 2016," Humphreys said. "Our fixed cost structure is now lower and we will have a full fiscal year to reap the anticipated benefits of the actions we took in the past year. We are excited about introducing new performance and lifestyle products across our business units for spring that we believe will enhance our current offerings to consumers. These steps give us encouragement that we should see another year of sales growth and profit improvement for Delta Apparel in fiscal year 2016.”
For more information, visit www.deltaapparelinc.com.