Anticipates fourth quarter diluted EPS growth compared to prior year
GREENVILLE, SC – Delta Apparel, Inc. (NYSE American: DLA), a leading provider of core activewear and lifestyle apparel products, announced preliminary results for its 2020 fiscal year fourth quarter.
The Company anticipates overall net sales for the fourth quarter of its 2020 fiscal year to be approximately $116 million, up about 8% compared to $108 million in the prior year period, with growth in each of its business units. The Delta Group and Salt Life Group segments are expected to report fourth quarter year-over-year net sales growth of approximately 8% and 12%, respectively. The Company also expects to report an expansion of operating income in the fourth quarter compared to prior year, exceeding its prior commitment to deliver fourth quarter profitability on both a reported and adjusted basis.
Robert W. Humphreys, the Company’s Chairman and Chief Executive Officer, commented, “In what has remained an unprecedented period for our nation and our industry, we are proud of the strong finish to our 2020 fiscal year. Our stellar preliminary fourth quarter sales results were broad-based with growth in each of our business units. The advantages of the Delta Apparel strategic model with our diversified sales channels and broad geographic footprint, combined with our unique, integrated manufacturing platform, once again contributed to remarkable results this quarter and positions us well for profitable growth into the foreseeable future.”
The Company’s digital print business, DTG2Go, achieved net sales growth in the quarter of nearly 30% compared to prior year, driven by unit growth of approximately 35% during the quarter. As previously announced, the Company is expanding its DTG2Go digital print business with the opening of its first ‘On-Demand DC,’ a solution for retailers and brands to grow their business utilizing an integrated, on-demand fulfillment model.
Humphrey’s commented, “Our DTG2Go business continued to disrupt the industry with our unique on-demand model utilizing our proprietary technology and broad geographic footprint.
About Delta Apparel, Inc.
Delta Apparel, Inc., along with its operating subsidiaries, DTG2Go, LLC, Salt Life, LLC, and M.J. Soffe, LLC, is a vertically-integrated, international apparel company that designs, manufactures, sources, and markets a diverse portfolio of core activewear and lifestyle apparel products under the primary brands of Salt Life®, COAST®, Soffe®, and Delta. The Company is a market leader in the direct-to-garment digital print and fulfillment industry, bringing DTG2Go technology and innovation to the supply chain of its customers. The Company specializes in selling casual and athletic products through a variety of distribution channels and tiers, including outdoor and sporting goods retailers, independent and specialty stores, better department stores and mid-tier retailers, mass merchants and e-retailers, the U.S. military, and through its business-to-business e-commerce sites. The Company’s products are also made available direct-to-consumer on its websites at www.saltlife.com, www.coastapparel.com, www.soffe.com and www.deltaapparel.com as well as through its branded retail stores. The Company’s operations are located throughout the United States, Honduras, El Salvador, and Mexico, and it employs approximately 8,700 people worldwide. Additional information about the Company is available at www.deltaapparelinc.com.