Country: Israel

In a bid to capture share in loungewear market, Delta Galil’s newly acquired brand, Splendid, is launching its own active and sleepwear lines. The brand was added to the company’s umbrella just last year and is already spearheading the conglomerate’s growth into new categories.

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Dubbed as Splendid Studio, the active wear collection will include a fashionable range of high-waist leggings, culottes, sports bras and knit tops that can easily be worn from a yoga studio to the street. The collection is mostly created with cotton jersey and light-weight knitted Hatchi fabrics with details like engineered stripes, the brand’s infamous signature and playful colours.

“What makes Splendid different is its use of soft, premium fabrics supplemented with a great fit. We thought it made sense to expand that into a yoga and sleepwear line.” exclaimed Victoria Vandagriff, President of D2 Brands.

The new active collection will be launched at Dillard’s, Revolve and Anthropologie for the Fall/Winter 2017-18 season. The sleepwear line will be start retailing at Bloomingdale’s, Lord & Taylor, Hudson Bay and Anthropologie and all of the pieces from the sleep and active wear collections will be sold at prices ranging from US $ 50 to US $ 120.

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.”

Paula Schneider, recently serving the position of CEO of DG Premium Brands, has resigned from her position within seven months. She was responsible for brands like 7 For All Mankind®, Splendid® and Ella Moss®.

“We can confirm Paula Schneider’s decision to leave her position as Chief Executive Officer of DG Premium Brands, a division of Delta Galil Industries. We are conducting a search for a leader for DG Premium Brands who can help realize its full potential. We wish Paula well in her future endeavours,” according to the statement issued by the company.

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Previously, Paula resigned last year as CEO of American Apparel to take charge of the three contemporary brands sold by VF Corp. to Delta Galil, a leading Israeli manufacturer and marketer of branded and private label apparel products for men, women and children. During her two years at American Apparel, she served during a tumultuous time when the company filed for Chapter 11 bankruptcy protection.

Paula has a long history of heading up big-name clothing companies like Warnaco Swimwear Group, whose principal label was Speedo and Laundry by Shelli Segal.

A new five-year licensing agreement linking Delta Galil with Calvin Klein which entails Delta Galil to develop children’s underwear, sleepwear and socks for the PVH-owned brand, was announced on Tuesday.

Starting January 1, 2018, Delta Galil will own the exclusive wholesale rights to market the he, Calvin Klein’s boys and girls underwear, sleepwear and socks through department and specialty stores across the US and Canada.

“Calvin Klein has represented one of the most iconic brands for nearly 50 years, and it is a true honour to partner with them particularly in their renowned underwear and intimate apparel categories,” said CEO of Delta Galil, Isaac Dabah, adding, “This represents an important step for Delta Galil in our ongoing strategy of enhancing our branded portfolio and broadening our presence in the premium sector.”

This new licensing agreement marks one of the initial deals for Calvin Klein under Raf Simons. Calvin Klein is a major sales contributor for PVH, but the brand has struggled in North America.

Delta Galil Industries Ltd., a global manufacturer and marketer of branded and private label apparel products, leisurewear and activewear, has reported its financial results for the fourth quarter ended December 31, 2016. The company noted a rise of 31 per cent in sales to US $ 376.3 million as against US $ 287.1 million in the corresponding period last year.

In the reporting period, operating profit increased 80 per cent to US $ 32.3 million compared to US $ 17.9 million in the comparable period prior year. Net income in the quarter totalled US $ 18.5 million, up by 51 per cent from last year’s US $ 12.3 million.

In the full-year period 2016, sales amounted to US $ 1,179.2 million, witnessing a rise of 9 per cent from previous year’s sales of US $ 1,080 million. Operating profit in this period stood at US $ 85.3 million, up by 23 per cent. Continuing on the same path, net income of the company increased 16 per cent to US $ 18.5 million as against US $ 16 million in the comparable period prior year.

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Isaac Dabah, CEO of Delta Galil stated, “We are very pleased with our results for 2016, which concluded with a particularly strong fourth quarter and reflected all-time high sales, operating profit and cash flow. Throughout the year, we remained focused on a number of operational and growth initiatives that improved our business segments and helped make us a more efficient company. We’ve upgraded our digital platform and increased our ecommerce market share by selling to wholesale customers such as Amazon, Zalando, and Otto.”