Net income excluding non-recurring items, was US 16.1 million in the 2015 fourth quarter, a 5% increase compared with US 15.3 million a year earlier. For the full year 2015, net income excluding non-recurring items, was US 48.5 million, compared to US 48.4 million for 2014.

“Our 2015 performance represented the sixth consecutive year of sales growth. We delivered a 10% increase in top-line in original currency. Looking to the future, we have made investments that have positioned us to continue to innovate, add new customers and licenses, and expand our international scope,” commented Isaac Dabah, CEO of Delta Galil.

Sales and operating profit

Delta Galil reported sales of US 287.1 million for the fourth quarter of 2015, an increase of 3% from US 277.4 million for the same quarter of 2014, and an 8% increase in original currency.

Sales for the 2015 full year were a record US 1,080.0 million, an increase of 5% from US 1,031.9 million in 2014, and a 10% increase in original currency. The year-over-year increase reflected top-line growth in all key geographic regions in original currency, as well as the positive impact of Delta Galil’s diversified portfolio.

Operating income was US 23.7 million for fourth quarter of 2015 before one-time items, up by 6% from US 22.3 million in the same quarter of 2014.  For the full year 2015, operating income before one-time items was US 75.5 million, up by 2% from US 74.4 million a year earlier.

Key highlights

“While 2015 was a challenging year for the global economy, we benefitted from our business model, which combines a diverse blend of branded and private label products, an expanded global presence and a range of market segments,” said Isaac Dabah.

“Among our key highlights during the year, we improved our performance at Delta USA and in the global upper market, and in addition we acquired the P.J. Salvage brand. We expanded our prominent portfolio of licensed brands with men’s and ladies’ underwear licenses for Columbia Sportswear, a sleepwear and intimates license for Juicy Couture, and an exclusive license for Puma sportswear brand products in Israel – all of which will contribute to our growth potential in future years.”

“Looking to the future, we have made several investments in the company to position us for long-term growth and enhance our shareholders value. In 2015 we significantly increased our capital expenditures to support and drive our global growth, adding a factory in Vietnam and a dye house in Egypt, and we additionally consolidated our headquarters and invested in new offices and showrooms in New York and Israel. These investments have positioned us to continue to innovate, add new customers and licenses, and expand our international scope.”

2016 financial guidance

Delta Galil provided its 2016 financial guidance, excluding non-recurring items which is based on current market conditions and current exchange rate of US 1.1 per euro. Full-year 2016 sales are expected to range between US 1,090 million-US 1,110 million, representing an increase of 1%-3% from 2015 actual sales of US 1,080.0 million.

Full-year 2016 EBIT is expected to range between US 78 million-US 82 million, representing an increase of 3%-8% from 2015 actual EBIT before non-recurring items of US 75.5 million. Full-year 2016 EBITDA is expected to range between US 99.0 million-US 103.0 million, representing an increase of 3%-8% from 2015 actual EBITDA of US 95.3 million.

Full-year 2016 net income is expected to range between US 49.5 million-US 52.0 million, representing an increase of 2%-7% from 2015 actual net income of US 48.5 million.

www.deltagalil.com