Delta Apparel Reports Fiscal 2014 First Quarter Results
Delta Apparel, headquartered in Duluth, Ga., recently reported its 2014 first quarter results. For the fiscal 2014 first quarter ended Dec. 28, 2013, net sales were $100.0 million versus $106.8 million for the comparable 2013 period.
Continued strong sales growth in the Salt Life and Art Gun businesses was offset by an anticipated sales decline at Soffe as well as lower sales in the Junkfood and The Game businesses. Demand for basic undecorated tees was weak to start the quarter but improved as the quarter progressed. Lower sales, coupled with higher costs associated with operational initiatives that were completed during the quarter, produced a net loss for the 2014 first quarter of $1.6 million.
Robert W. Humphreys, Delta Apparel's chairman and CEO, noted that a number of factors combined to produce an unfavorable effect on Delta’s first quarter results, but that the outlook wasn't all negative.
"We are also seeing many positive things in our business," he said. "The weak demand for basic undecorated tees experienced during most of the quarter began improving toward the end of December. Growth opportunities appear to be on the horizon at Junkfood as several new programs we tested this fall are being expanded for spring. Soffe, while still in negative territory for the first quarter, is showing considerable improvement and we anticipate that Soffe will return to profitability for the upcoming quarters.”