Delta Apparel, Inc. forecasts net sales for the fiscal year ending October 1 to be approximately $484 million, representing an increase of 11 percent from the prior year. All five of its go-to-market channels, Delta Direct, Brand Direct, Retail Direct, DTG2Go, and Salt Life, are expected to register year-over-year growth.
The company had projected double-digit revenue growth for the full year.
The company projects overall net sales for the fiscal 2022 fourth quarter to be approximately $115 million, comparable to last fiscal year’s fourth quarter. The fiscal 2022 fourth quarter’s sales revenue was driven by continued double-digit growth in the Salt Life Group and the DTG2Go business unit, while the activewear business contributed to a slight decline in the overall Delta Group segment sales.
Robert W. Humphreys, chairman, and chief executive officer commented, “In what remained a dynamic and highly fluid macroeconomic environment throughout our fiscal year, we are extremely pleased with our performance across all five of our go-to-market channels. Our teams successfully navigated many obstacles during the year, and we expect net sales for fiscal year 2022 to represent double-digit organic growth over the prior year.
“We are also pleased with our fiscal 2022 fourth-quarter revenue driven by continued double-digit increases in net sales in our Salt Life Group and in our DTG2Go on-demand digital print business. In addition to our DTG2Go business unit, we experienced growth in our Global Brands channel, largely offsetting a slower trend in our Delta Direct activewear channel, showcasing the strength of the unique diversification of our business model within our Delta Group.
“The continued momentum in our Salt Life business further validates the brand’s growing lifestyle appeal. We are encouraged with the outstanding performance of Salt Life branded retail doors. Additionally, our direct-to-consumer e-commerce business returned to growth in our fourth fiscal quarter. The increase in sales in these channels, combined with continued growth in our wholesale channel, resulted in double-digit year-over-year revenue growth. With the fourth quarter opening of the Salt Life store in Jupiter, Florida, our retail store footprint now encompasses twenty-one locations, exceeding our target set at the beginning of the year to operate twenty stores by the end of fiscal year 2022.
“The current year’s success is a testament to the hard work of our people across all of our business operations, demonstrating their unwavering focus on servicing our customers during these extraordinary times,” concluded Humphrey’s
The company intends to provide final and complete financial results for the fiscal year 2022 fourth quarter ended October 1, 2022, in a regularly scheduled quarterly press release and earnings call.
Delta Apparel will provide the time and date of its earnings call in advance of the call.
Photo courtesy Delta Apparel/Salt Life
