• Q1 loss of $2.3m versus $6.4m
  • Sales jump 61% to $47.3m 
  • Gross margin slips to 45% from 49%

Apparel business Joe's Jeans is "pleased" after reporting a narrower year-on-year loss during the first quarter, thanks to a 61% hike in sales.

Net income amounted to US$2.3m for the three months to 28 February, compared to a loss of $6.4m in the same period of last year.

Sales jumped 61% to $47.3m from $29.4m in the prior year. The company said these results reflect its $97.6m acquisition of Hudson Clothing Holdings

Retail sales increased 22% to $7.7m from $6.3m last year, while wholesale revenues surged 72% to $39.6m against $23.1m in the year before.

Gross margin slipped to 45% from 49% during the period, primarily due to a $1m non-cash charge.

"With our first full quarter of operations of our Hudson subsidiary, we are pleased with our overall results for the quarter," said president and CEO Marc Crossman.