US: Jos A Bank cautious as it swings to Q1 loss
- Q1 net loss of US$37.1m
- Gross margin decline in May
- Sales rise 11%
US men's apparel and footwear business Jos A Bank Clothiers has said it remains cautious heading into the crucial Father's Day period after suffering a gross margin decline in May and swinging to a loss in its first-quarter.
The retail group swung to a loss in the three months ended 3 May, hurt by costs related to its acquisition by Men's Wearhouse, which is expected to close in the next few weeks.
Jos A Bank posted a loss of US$37.1m in the period, compared with a profit of $8.1m, or $0.29 cents per share, a year earlier. Excluding around $75.4m in costs related to the deal, the company earned $0.32 cents per share.
Sales rose 11% to $217.4m, while comparable-brand sales rose 8.4%.
CEO Neal Black said the company was pleased to have continued the positive adjusted earnings trend that started in the second half, but added that its gross profit margin rate declined in May as it aggressively sold clearance goods left over from spring 2013 and its sales and marketing expenses increased.
"We are therefore cautious as we approach the critical Father's Day selling period as we attempt to balance strong sales with the appropriate amount of clearance markdowns and advertising expenses," he said.
- Supply chain mapping using the Bitcoin blockchain
- Mexico makers see rise in exports and local demand
- Euro decline weighs on Turkish clothing industry
- VF Corp confirms interest in Africa sourcing
- G-Star RAW pushes the boundaries of denim
- UK retailers to answer over human trafficking
- New dye-sublimation printers for sportswear
- LF Corp to streamline planning and sourcing
- Uniqlo owner highlights supplier factory progress
- Clothing a top category for mass personalisation
- Ethiopia – the emerging textile and clothing industry
- Global Database of the Top 1000 Apparel Producers - Company Names, Financial Performance, and Contact Details
- Management briefing: Factory safety and auditing: The key challenges
- Myanmar's Garment Sector - Opportunities & Challenges in 2015
- Global market review of workwear - forecasts to 2019