• Fourth-quarter net income fell to $4.8m
  • Sales were down 1.6% to $135.4m
  • The company swang to a full-year loss of $2.4m
  • Sales increased 3% to $489.9m 

Delta Apparel saw fourth-quarter net income fall to US$4.8m from US$8.5m over the same period of the prior year.

Sales declined slightly, down 1.6% to $135.4m.

Over the full year, the company posted a $2.4m net loss, which the company attributed to a 16.2m inventory markdown in its basics segment during the second quarter. In the previous year, the company recorded $17.3m net income.

Full-year sales increased approximately 3% to $489.9m.

The company said that while cotton prices returned to more normal levels in the fourth quarter, some residual affects still remained. "Increased retail prices, reflecting the high cost of cotton earlier in the year, hampered sell-through, and department store inventories have not reduced as rapidly as expected. Therefore, replenishment orders were lower than anticipated, primarily in the Company's Soffe product line," said Delta Apparel.