Free 7-day Trial
All Articles and Columns »

Maidenform Brands Inc. Reports Operating Results (10-Q)

August 09, 2012 | About:
10qk

10qk

18 followers
Maidenform Brands Inc. (MFB) filed Quarterly Report for the period ended 2012-06-30.

Maidenform Brands, Inc. has a market cap of $516.2 million; its shares were traded at around $22.235 with a P/E ratio of 16.1 and P/S ratio of 0.9.
This is the annual revenues and earnings per share of MFB over the last 10 years. For detailed 10-year financial data and charts, go to 10-Year Financials of MFB.


Highlight of Business Operations:

Wholesale segment net sales decreased by $12.4 million, or 8.1%, from $153.8 million for the three months ended July 2, 2011 to $141.4 million for the three months ended June 30, 2012. Total international net sales, which are included in our wholesale segment, decreased by $1.9 million, or 11.4%, from $16.7 million for the three months ended July 2, 2011 to $14.8 million for the three months ended June 30, 2012. The international sales decrease was driven by lower sales in our major European markets, such as the United Kingdom and the Benelux countries that was partially offset by increases in Canada and Mexico, along with unfavorable currency exchange rates. Our department stores and national chain stores channel net sales increased by $0.7 million, or 1.0%, from $69.7 million for the three months ended July 2, 2011 to $70.4 million for the three months ended June 30, 2012. During the second quarter of 2012, we shipped the Jennifer Lopez brand for the first time to a chain store customer which was partially offset by declines at a

Wholesale segment net sales decreased by $19.6 million, or 6.4%, from $305.8 million for the six months ended July 2, 2011 to $286.2 million for the six months ended June 30, 2012. Total international net sales increased by $1.3 million, or 4.3%, from $30.0 million for the six months ended July 2, 2011 to $31.3 million for the six months ended June 30, 2012, resulting from increased sales to major markets, such as Canada and the United Kingdom. Partially offsetting these increases were sales decreases in other major markets, such as the Benelux countries, and the impact of unfavorable currency exchange rates. Our department stores and national chain stores channel net sales decreased by $4.4 million, or 3.3%, from $133.4 million for the six months ended July 2, 2011 to $129.0 million for the six months ended June 30, 2012. The decrease was primarily due to a reduction in replenishment sales, as well as sales declines at a mid-tier department store as it transitions to a new pricing and merchandising strategy, and an assortment expansion in 2011 at one of our chain store customers that did not repeat in 2012. During the second quarter of 2012, we shipped the Jennifer Lopez brand for the first time to Kohl’s which partially offset the sales decline. Our mass merchant channel net sales decreased by $7.6 million, or 6.6%, from $114.8 million for the six months ended July 2, 2011 to $107.2 million for the six months ended June 30, 2012 primarily resulting from the reasons mentioned above. Other channel net sales decreased by $7.6 million, or 13.2%, from $57.6 million for the six months ended July 2, 2011 to $50.0 million for the six months ended June 30, 2012 resulting primarily from lower anticipated sales to a specialty retailer.

Net sales in our retail segment decreased by $0.1 million, or 0.6%, from $16.2 million for the three months ended July 2, 2011 to $16.1 million for the three months ended June 30, 2012. Net sales in our retail segment increased by $1.0 million, or 3.6%, from $27.8 million for the six months ended July 2, 2011 to $28.8 million for the six months ended June 30, 2012. This increase of $1.0 million is a result of our e-commerce growth, partially offset by decreased customer traffic in our outlet stores. Same store sales, defined as sales from stores open more than one year, decreased 3.6% for the three months ended June 30, 2012, and remained flat for the six months ended June 30, 2012. Our internet sales increased by $0.5 million, or 27.8%, from $1.8 million for the three months ended July 2, 2011 to $2.3 million for the three months ended June 30, 2012 and increased by $1.3 million, or 39.4%, from $3.3 million for the six months ended July 2, 2011 to $4.6 million for the six months ended June 30, 2012.

Consolidated gross profit decreased by $5.5 million, or 9.3%, from $59.1 million for the three months ended July 2, 2011 to $53.6 million for the three months ended June 30, 2012. As a percentage of net sales, consolidated gross margins decreased by 80 basis points from 34.8% for the three months ended July 2, 2011 to 34.0% for the three months ended June 30, 2012. Consolidated gross profit decreased by $18.3 million, or 15.9%, from $114.8 million for the six months ended July 2, 2011 to $96.5 million for the six months ended June 30, 2012. As a percentage of net sales, gross profit decreased by 380 basis points from 34.4% for the six months ended July 2, 2011 to 30.6% for the six months ended June 30, 2012.

Consolidated SG&A increased by $0.3 million, or 0.9%, from $34.3 million for the three months ended July 2, 2011 to $34.6 million for the three months ended June 30, 2012. As a percentage of net sales, SG&A increased from 20.2% for the three months ended July 2, 2011 to 21.9% for the three months ended June 30, 2012. Consolidated SG&A increased by $1.2 million, or 1.8%, from $66.5 million for the six months ended July 2, 2011 to $67.7 million for the six months ended June 30, 2012. As a percentage of net sales, SG&A increased from 19.9% for the six months ended July 2, 2011 to 21.5% for the six months ended June 30, 2012.

Read the The complete Report

About the author:

10qk
GuruFocus - Stock Picks and Market Insight of Gurus

Rating: 3.0/5 (1 vote)

Comments

Please leave your comment:


Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial
FEEDBACK
Hide