NEW YORK — Perry Ellis International said its second-quarter net loss remained essentially unchanged from a year ago, but ballooning top-line results helped the company beat analysts’ expectations.
For the three months ended July 31, the Miami-based branded apparel maker reported a loss of $2.6 million, or 29 cents a diluted share, which beat Wall Street’s forecast by a penny. In the same period last year, the company also had a loss of $2.6 million, but the loss per share was 36 cents because there were fewer shares outstanding prior to the Salant acquisition.
Revenues jumped 36.2 percent to $126.4 million from $92.8 million a year ago. Perry Ellis said about $16.6 million of that increase came from its wholesale and swimwear businesses, while $17 million was contributed by Salant.
“We are showing an improvement over last year in the department store channel with brands such as Perry Ellis, Cubavera and Mondo di Marco,” said chief executive George Feldenkreis in a statement. “In the national chain stores, our Havanera Co., John Henry and some new initiatives in private label lines continue to provide growth opportunities.”
Overall, for the first half of the fiscal year, Perry Ellis said net income shot up 85.8 percent to $5.6 million, or 59 cents, from $2.9 million, or 40 cents, last year. Net revenues improved 61.1 percent to $323.8 million from $201 million last year.
Additionally, Perry Ellis affirmed its intention to take advantage of the booming luxury sector with its relaunch of Jantzen as an upper moderate brand and Grand Slam as an upper moderate golf lifestyle brand.
“Our Hispanic lifestyle brands continue to drive excitement and revenues,” said president Oscar Feldenkreis in a statement. “Cubavera is one of the top performers in every department store where it is sold.”
— Dan Burrows
This story first appeared in the August 24, 2004 issue of WWD. Subscribe Today.