Delta Galil Industries reported net income of $16.1 million for the 2015 fourth quarter and diluted earnings per share of 62 cents. Net income for the full year was $48.5 million, or $1.88 a diluted share.
Sales increased 8 percent in original currency with reported sales for the fourth quarter rising to $287.1 million, up 3 percent from the previous year. The Israel-based apparel maker said sales for the full year were $1.08 billion, an increase of 5 percent over last year’s $1.03 billion.
“Our 2015 performance represented the sixth consecutive year of sales growth. We delivered a 10 percent increase in topline in original currency,” said Isaac Dabah, chief executive officer of Delta Galil.
Net profit for the year was $43.9 million, which was lower than last year’s $47.4 million. “While 2015 was a challenging year for the global economy, we benefited from our business model, which combines a diverse blend of branded and private-label products, an expanded global presence and a range of market segments,” said Dabah. “We expanded our prominent portfolio of licensed brands with men’s and ladies’ underwear licenses for Columbia Sportswear, a sleepwear and intimates license for Juicy Couture and an exclusive license for Puma sportswear brand products in Israel — all of which will contribute to our growth potential in future years.”
Looking ahead, full-year 2016 sales are expected to increase 1 percent to 3 percent to a range between $1.09 billion and $1.11 billion. Full-year net income is expected to be in the range of $49.5 million and $52 million for an increase of 2 percent to 7 percent. Full-year diluted earnings per share are forecast to be between $1.93 and $2.02 for an increase of 2 percent to 7 percent.
Delta Galil has consolidated its headquarters, added a factory in Vietnam, a dye house in Egypt and invested in new offices and showrooms in New York and Israel. In December, Delta Galil unveiled a new licensing agreement with Columbia Sportswear with the first collections available in the fall.