Delta Apparel Inc. announced preliminary sales results for its fiscal year 2022 first quarter ended January 1, 2022.
The company expects overall net sales for the first quarter of fiscal 2022 to be approximately $109 million. The stronger than anticipated sales growth is approximately 15 percent higher than the $94.7 million achieved in the fiscal first quarter of the prior year. The sales growth was driven by demand across all of its business units combined with manufacturing and operational performance. Higher selling prices, including additional value-added steps, also contributed to its sales growth during the quarter.
Robert W. Humphreys, chairman and chief executive officer, commented, “We are extremely pleased with the top-line results delivered this quarter, which showed strong growth over the first quarter of fiscal 2021 and also was significantly higher than the first quarter of fiscal 2019 sales.”
The Delta Group and the Salt Life Group each achieved double-digit sales growth for the quarter. The Delta Group demand currently exceeds capacity in most channels of distribution. Manufacturing initiatives are expected to increase available capacity in the back half of this fiscal year. The Salt Life Group’s sales growth was approximately 25 percent higher than the first quarter of fiscal 2021 which was driven by strong demand from wholesale customers combined with outstanding growth in its direct-to-consumer channels of distribution.
Humphreys further commented, “We have demonstrated over the past year Delta Apparel has a strong vertical supply chain that is diversified, reliable and delivers value-added services that are in high demand. This combined with our unique technology and print-on-demand business, DTG2Go, positions us uniquely in the marketplace. Further, our high growth, high margin Salt Life branded business provides an additional platform to drive value for our shareholders while further leveraging our manufacturing, sourcing and design capabilities.”
Delta Apparel provided the update in anticipation of management’s appearance at the 2022 ICR conference.
Delta Apparel, Inc., along with its operating subsidiaries, DTG2Go, LLC, Salt Life, LLC, and M.J. Soffe, LLC, is a vertically-integrated, international apparel company that markets a diverse portfolio of core activewear and lifestyle apparel products under the primary brands of Salt Life, Soffe and Delta.
Photo courtesy Delta Apparel/Salt Life
