Perry Ellis International, Inc. reported Q1 revenues surged 50% in swimwear and 110% in action sports. In swim, strong performances came from Nike, Perry Ellis and JAG, a new license signed last year. In action sports, both Redsand and Gotcha brands led the gains. Gross margins grew 700 basis points on increased full-price sales.
Perry Ellis's golf brands grew revenues by 13%, led by a strong retail performance and increased penetration of the PGA Tour brand and Grand Slam brand, as well as growth in Ping. The golf division saw strong penetration in new doors and double-digit sell-throughs on its tech performance products. The Champion Tours brand is expanding into department stores, and is currently in 321 Macy's doors. PGA Tour has nearly doubled its door count to 943 at J.C. Penney. Grand Slam is now sold exclusively in 835 Kohl's doors, up from 749 in spring '06.
Overall, Perry Ellis International's revenues reached $228.8 million, a 7% increase from $214 million a year ago. Net income grew to $9.5 million compared to net earnings of $5.9 million and pro-forma net income of $7.8 million a year ago. Last year's pro forma results exclude the impact of $3 million in debt extinguishment costs.
