Perry Ellis International said its golf apparel sales grew 24 percent in the first quarter while Nike Swim expanded more than 10 percent.
The golf gains were led by Callaway PGA TOUR, Ben Hogan, Grand Slam, and Jack Nicklaus with golf apparel seeing 12 percent organic growth. Said Oscar Feldenkreis, vice chairman, president & COO, “We continue to capture market share, add new accounts, and to increase our door accounts and penetrations for each brand. This success of the master Callaway global brand in its core golf equipment business has had a very positive impact on our apparel business. Building off of their momentum, we achieved over 30 percent organic growth this quarter.”
Its Callaway apparel ambassadors have reported six global wins year to date and Callaway’s direct-to-consumer launch was the most successful online commerce launch by any brand at Perry Ellis. It plans to double the Callaway business this year. Said Feldenkreis, “We're looking forward to Father's Day and anticipate a strong performance at retail, as we roll out new, innovative performance product offerings.”
Feldenkreis added he was “especially excited about” its PGA TOUR expansion foreign product, which will be showcased on its brand ambassador Jason Dufner via a national television campaign and sweepstakes. Jack Nicklaus has been “a great addition,” both domestically and internationally where it’s delivering to 13 countries outside the U.S.
Nike Swim’s revenues grew over 10 percent, helped by a “very strong adoption of our new elite competition suit – the Nike NG1 – with many competitive athletes choosing Nike for the first time and breaking records.”
This year, Nike Swim “will be keenly focused on women's swim, performance swim, and growth in the sporting goods channel, where we continue to gain market share as well as rollout enhanced in-store visuals and fixture.”
Overall, Perry Ellis' net earnings slid 31.0 percent to $7.8 million, or 52 cents per share. On an adjusted basis, profits were 55 cents a share, well above Wall Street's consensus estimate of 27 cents a share. Revenues slid 1.9 percent $257.3 million. Planned exits of certain private and retailer exclusive branded programs weren't completely offset by increases in golf lifestyle apparel, Nike Swim and Original Penguin as well as stronger direct-to-consumer revenue results.
