Delta Apparel reports Q1 FY21 sales of $95 mn

Delta Apparel, a US-based provider of activewear and lifestyle apparel products, has reported 1.5 per cent sales decline to $94.7 million in its first quarter (Q1) FY21 ended on January 2, 2021, compared to sales of $95.9 million in the same period previous fiscal. Net income for the quarter improved to $0.9 million (Q1 FY20: $0.8 million).

 

“Fiscal 2021 is off to a strong start with our first quarter sales and profitability results well ahead of our internal expectations. Despite notable headwinds from inventory constraints, hurricane-related disruptions in Central America, and freight carrier limitations during the holiday season, our results were bolstered by strong order demand and impeccable manufacturing and operational execution at all levels,” Robert Humphreys, chairman and chief executive officer at Delta Apparel, said in a press release.

 

Gross profit during Q1 FY21 grew marginally to $20.2 million ($19.8 million). Selling, general and administrative expenses were $16.0 million ($18.0 million). However, operating income for the quarter improved to $3.0 million ($2.6 million).

 

“We were particularly pleased with the accelerating success of our retail model within the DTG2Go digital print business. DTG2Go gained significant traction during the quarter with traditional retailers utilising our on-demand, seamless supply chain to expand their business,” Humphreys said.

 

“Our business is firing on all cylinders as we continue to ramp our manufacturing output to record levels to keep up with the high demand we have in our pipeline. Our strong first quarter results and solid balance sheet have positioned us well to deliver against our goals for the fiscal year,” Humphreys concluded in the release.