TEFRON IN RED: Tefron Ltd., the Bnei-Brak, Israel-based manufacturer of seamless intimate apparel, said its net losses in the fourth quarter widened to $3.5 million, or 28 cents a share, from $1.4 million, or 11 cents, a year ago. However, excluding the effects of one-time expenses to shift its Alba-Waldensian U.S. manufacturing operations to Israel, Tefron’s bottom line jumped into the black in the period with earnings of $2.3 million, or 18 cents a share. Sales for the quarter ended Dec. 31 inched up 2.4 percent to $50.4 million from $49.2 million a year ago. Chief executive Yos Shiran said in a statement that Tefron’s 2002 results “indicate a clearly identified turnaround in all the company’s financial parameters.” For the year, losses widened to $17.5 million, or $1.41 a share, from $10 million, or 81 cents, during the preceding year. Without special items for Alba-Waldensian, income reached $8.9 million, or 72 cents a share. Sales advanced 0.7 percent to $190.3 million from $188.9 million in 2001. “Our focus for 2003 is on expanding our customer base in both the U.S. and Europe, while at the same time expanding and diversifying our existing customer relationships,” said Shiran.
DELTA GALIL SOARS: Delta Galil Industries Ltd.’s fourth-quarter earnings more than tripled on robust sales growth. For the three months ended Dec. 31, the Tel Aviv, Israel-based private label innerwear maker reported net income soared 266.7 percent to $4.9 million, or 26 cents a diluted share. By comparison, last year the firm recorded profits of $1.3 million, or 7 cents. Excluding one-time charges of $1.6 million, or 9 cents, fourth-quarter earnings would have been $6.5 million, or 35 cents. Results for the 2001 quarter include nonrecurring items totaling $2 million, or 11 cents. Revenues for the period increased 15.2 percent to $159.4 million from $138.3 million a year ago. Chief executive officer Arnon Tiberg said Delta benefitted from greater sales to Wal-Mart and Target, as well as a 30 percent rise in sales to Delta’s largest customer, U.K. chain Marks & Spencer. Overall, for the fiscal year, Delta said earnings grew 45.5 percent to $16.6 million, or 88 cents, versus $11.4 million, or 60 cents, in fiscal 2001. Excluding one-time charges of $3.3 million, or 18 cents, net income would have been $20 million, or $1.06. Last year, nonrecurring charges included special items accruing to $2.6 million, or 13 cents. Revenues ticked up 1.5 percent to $567.3 million from $558.8 million a year ago.