- Prachi Singh |
Second quarter net sales at Oxford Industries, Inc. were 302 million dollars compared to 302.6 million dollars in the second quarter of fiscal 2018. The company said, earnings on a GAAP basis were 1.76 dollars per share compared to 1.61 dollars in the same period of the prior year. On an adjusted basis, earnings were 1.84 dollars per share compared to 1.83 dollars in the second quarter of fiscal 2018.
Commenting on the second quarter results, Thomas C. Chubb III, the company’s Chairman and CEO, said in a statement: “Our second quarter results continued to demonstrate the strength of our full-price direct to consumer businesses. For the tenth consecutive quarter, we posted consolidated comparable sales growth of 3 percent on top of a 7 percent increase in the prior year. The top-line performance of our full-price direct to consumer channels was offset by lower wholesale sales and some softness in our outlet store business.”
Q2 consolidated operating results of Oxford
The company added that second quarter result included a 3 percent increase in comparable sales with increases at both Tommy Bahama and Lilly Pulitzer, while the increase in direct to consumer sales was offset by lower wholesale sales.
Gross profit increased to 179.8 million dollars compared to 179.3 million dollars in the same period of the prior year, while gross margin grew to 59.5 percent compared to 59.2 percent in the second quarter of fiscal 2018 and adjusted gross margin expanded 40 basis points to 59.8 percent.
The company has revised its guidance for fiscal 2019 to incorporate an estimated 20 cents per share impact resulting from additional tariffs in the second half of the year. For the full fiscal year 2019, GAAP earnings per share are expected to be between 4.15 dollars and 4.35 dollars, adjusted earnings per share are expected to be between 4.25 dollars and 4.45 dollars compared to earnings on a GAAP basis of 3.94 dollars per share and, on an adjusted basis, 4.32 dollars per share in fiscal 2018. The company expects net sales to grow to between 1.135 billion dollars and 1.155 billion dollars compared to fiscal 2018 net sales of 1.107 billion dollars.
For the third quarter, the company said, net sales are expected to be in a range from 235 million dollars to 245 million dollars compared to 233.7 million dollars in the third quarter of fiscal 2018. Earnings per share on a GAAP basis are expected to be in a range of breakeven to 10 cents in the third quarter. On an adjusted basis, earnings per share are expected to be in a range of 1 cent to 11 cents, compared with 11 cents and adjusted earnings per share of 14 cents in the same quarter last year.
The company also announced a cash dividend of 37 cents per share payable on November 1, 2019 to shareholders of record as of the close of business on October 18, 2019.