Activewear and lifestyle apparel maker Delta Apparel expects to see a 12% rise in net sales for the second quarter, with CEO Robert Humphreys hailing an “outstanding” performance by the firm’s activewear business.

Reporting its preliminary results for the three months to 3 April, the company said it anticipates sales of around US$108m. The second quarter double-digit sales growth in both the Delta Group and Salt Life Group segments, coupled with margin expansion and controlled spending, is expected to result in operating income more than double the prior year March quarter, and diluted earnings per share in the range of $0.58 to $0.60 compared to $0.19 in the prior-year period.

Humphreys said the firm continues to be very encouraged with the broad-based demand it is seeing for its products in the many markets it serves.

“Our activewear business had an outstanding quarter, led by over 40% growth versus prior year in our FunTees business shipping to major brands and retailers alike. Our DTG2Go digital print business saw a slower start to the quarter but gained momentum as the quarter progressed, with double-digit unit growth in the March period and the launch of several new customers during the month. Consumers continued to seek out the Salt Life brand across all channels with notable performance at our branded retail stores and e-commerce site, which grew over 175% and 40%, respectively, compared to last year. We are entering the season with the largest wholesale order book on record for Salt Life, showing the continued strength of the brand at retail.

Delta Apparel‘s strategic advantages, namely our vertically integrated and innovative supply chain, diversified sales channels, and authentic brands, differentiate us in the market and we believe are the key reasons we are able to deliver such compelling top line and bottom-line results for our stakeholders.

“Our manufacturing team has been ahead of schedule in increasing our production to record levels to service the demand we are seeing for our activewear and branded apparel. Although we remain inventory constrained in the near term, we are working diligently to serve our customers’ needs and ultimately rebuild our inventory levels for future opportunities.”

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