Delta Galil Industries Ltd., the global manufacturer and marketer of branded and private label apparel products for men, women and children, as well as leisurewear, jeans and activewear, has declared its financial results for the first quarter ended March 31, 2017.
The company reported sales of US $ 315.7 million for the first quarter of 2017, a 23 per cent increase compared to US $ 256.7 million for the same quarter last year. The increase was primarily driven by the addition of Delta Premium Brands.
During the quarter under review, net income excluding one-time items was US $ 7.2 million representing an 8 per cent decrease from US $ 7.9 million in the first quarter last year. Net income during the said period stood US $ 5.6 million in the first quarter of 2017 compared to US $ 7.9 million in the first quarter last year, representing a 29 per cent decrease. Operating cash flow was negative US $ 13.1 million during the first quarter as against negative US $ 23.6 million in the first quarter of 2016.
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Commenting on the results, Isaac Dabah, CEO of Delta Galil stated, “We are pleased with the continued strength of our diversified business model. Our first quarter results were in line with our plan, and consistent with Delta’s historical performance of generating higher profits in the second half of the year. During the quarter, we made meaningful changes in our company that will improve our efficiency and production capacity. We started to run our Vietnamese factory with 750 new employees, and are on track to have our first orders shipped in April 2017. We expect the facility to reach full operational status in 2018.”
