Delta Galil reports rise in Q4 and FY16 sales and profit

Delta Galil Industries, manufacturer and marketer of branded and private label apparel products for men, women and children, as well as leisurewear, jeans and activewear, reported sales of 376.3 million dollars for the fourth quarter, a 31 percent increase compared to 287.1 million dollars for the same quarter last year. Sales for the full year were 1,179.2 million dollars, a 9 percent increase from 1,080 million dollars for the 2015 full year.

Commenting on the company’s positive trading, Isaac Dabah, CEO of Delta Galil, said in a statement, “We are very pleased with our results for 2016, which concluded with a particularly strong fourth quarter and reflected all-time high sales, operating profit and cash flow. During the year, we made the successful acquisition of 7 For All Mankind, Splendid and Ella Moss, reflecting our strategic efforts to grow Delta Galil’s branded business and expand our global footprint.”

Operating profit rises 80 percent in Q4

Operating profit increased 80 percent to 32.3 million dollars in the fourth quarter compared to 17.9 million dollars in the fourth quarter last year. For the 2016 full year, operating profit grew 23 percent to 85.3 million dollars, compared to 69 million dollars for the 2015 full year. Operating profit excluding one-time items increased 36 percent in the fourth quarter of 2016, and amounted to 32.3 million dollars, compared to 23.7 million dollars last year. For the 2016 full year, operating profit excluding one-time items amounted to 83.2 million dollars, compared to 75.5 million dollars last year, representing a 10 percent increase.

Net income increased 51 percent to 18.5 million dollars in the fourth quarter compared to 12.3 million dollars in the same quarter last year. Net income excluding one-time items totaled 18.5 million dollars, compared to 16 million dollars for the same period last year, representing a 16 percent increase. Diluted earnings per share increased 52 percent in the quarter to 0.73 dollar, compared to 0.48 dollar for the same quarter last year.

For the 2016 full year, net income was 51.9 million dollars or 2.03 dollars per diluted share, compared to 43.8 million dollars or 1.71 dollars per diluted share for the same period of 2015, representing a 18 percent increase.

Expects 13 to 16 percent rise in FY17 sales

Delta Galil said full-year 2017 sales are expected to range between 1,330 million dollars-1,370 million dollars, representing an increase of 13 percent-16 percent. Full-year 2017 EBIT is expected to range between 86 million dollars-91 million dollars, representing an increase of 3 percent-9 percent from 2016 actual EBIT of 83.2 million dollars, while full-year EBITDA is expected to range between 113 million dollars-118 million dollars, representing an increase of 6 percent-10 percent.

Net income is expected to range between 50 million dollars-52 million dollars, representing an increase of 6 percent-10 percent and diluted EPS is expected to range between 1.95 dollars-2.02 dollars, representing an increase of 5 percent-9 percent from 2016 actual EPS of 1.85 dollars.

Picture:Facebook/7 For All Mankind