• Fourth quarter net earnings reached $89m, 
  • Sales increased 16.6% to $561.7m
  • Full year net earnings fell to $148.5m from $234.2m
  • Full year sales rose 12.9% to $1.9bn

Gildan Activewear recorded a jump in fourth quarter net earnings as the group benefited from lower cotton costs, higher printwear unit sales volumes, more favourable product-mix and higher selling prices for Branded Apparel, and the initial accretion from the acquisition of Anvil Holdings.

The Canadian company saw net earnings reach US$89m over the quarter ended 30 September from $48.5m in the same period of the prior year. Net sales increased 16.6% to $561.7m. Printwear sales rose 7.5% to $376.8m, and branded apparel sales grew 41% to $184.8m.

However, full year net earnings fell to $148.5m from $234.2m in the prior year. Excluding restructuring and acquisition related costs, adjusted net earnings reached $157.3m against $246.9m in the prior year. It attributed the decline to higher cotton prices in the first half of the year, lower printwear selling prices and higher income taxes. Sales rose 12.9% to $1.9bn.

The company said it expects an adjusted EPS of $2.60-2.70 for fiscal 2012, on projected net sales revenues of approximately $2.1 billion. In 2012, the company earned $1.22 per share. Net sales for printwear are projected to be approximately $1.4 billion and net sales for Branded Apparel are projected to be approximately $0.7 billion.