Hanes Brands has released its first quarter net sales which amounted to US $ 1.32 billion, down from US $ 1.59 billion for the same period a year ago.
A statement of the company clarified that the first quarter of last year included the net sales of businesses like C9 Champion mass programme and DKNY intimate apparel license that are now no longer part of its portfolio.
A total of US $ 94 million came from these businesses for the stipulated period.
Additionally, the company reported lower GAAP operating profits at US $ 34 million and adjusted operating profit as US $ 63 million as compared to US $ 150 million and US $ 171 million, respectively.
The CEO of Hanes, Gerald W. Evans Jr. blames the coronavirus outbreak for the slow performance and for taking the brand off its growth trajectory this year. Their innerwear and activewear sales had seen better-than-expected growth prior to the pandemic and they expect to get back on track once the world returns to normalcy.
However, the brand is still generating sales from its online portal, dollar stores, mass retail and food and drug stores. The online sales saw an upward swing with an increase of 5 per cent globally.
The company has also ventured into making 320 million cloth face masks and 20 million gowns for the US Government.
Hanes Brands plans to launch the cloth face masks for the general public as well as B2B selling for organisations that are bringing their workforce back to offices.