Oxford Industries, Inc. (NYSE:OXM) today announced financial
results for its fiscal 2023 second quarter ended July 29, 2023.
Consolidated net sales in the second quarter of fiscal 2023
increased 16% to $420 million compared to $363 million in the
second quarter of fiscal 2022. EPS on a GAAP basis was $3.22
compared to $3.49 in the second quarter of fiscal 2022. On an
adjusted basis, EPS was $3.45 compared to $3.61 in the second
quarter of fiscal 2022.
In the first half of fiscal 2023, net sales grew 17%
year-over-year to $840 million. EPS was $6.86 on a GAAP basis
compared to $6.94 last year and $7.23 on an adjusted basis compared
to $7.11 last year.
Tom Chubb, Chairman and CEO, commented, “We are pleased to have
delivered second quarter results that are up significantly on a
multi-year basis and within our forecasted range given the choppy
operating environment. Our solid top-line performance was achieved
through winning execution within our six brands, each of which saw
sales growth this quarter driven by strong emotional connections to
consumers, inspiring brand voices, and balanced omnichannel
distribution delivering exceptional products to our customers.
While these factors remain strong across our business, we have
recently seen consumers become a bit more cautious with their
discretionary spending due to challenging macroeconomic conditions.
We are also feeling the impacts of wildfires on Maui due to
Oxford’s significant presence on the island. In consideration of
these factors, we are moderating our outlook for the second half of
the year.
“Despite some near-term pressures, we are confident that our
business model will drive profitable growth and long-term
shareholder value well into the future.”
Mr. Chubb concluded, “I am proud of, and grateful for, the
generosity of our associates across the enterprise who have pitched
in in so many ways to help the people of Maui recover from this
disaster. This generosity and the resilience of our people in Maui
and Hawaii are among the characteristics that make Oxford such a
great company.”
Second Quarter of Fiscal 2023 versus Fiscal
2022
Net Sales by Operating Group |
Second Quarter |
($ in millions) |
2023 |
|
2022 |
|
% Change |
|
Tommy Bahama |
$245.4 |
|
$244.0 |
|
1% |
|
Lilly Pulitzer |
91.3 |
|
88.7 |
|
3% |
|
Emerging Brands |
31.6 |
|
29.9 |
|
6% |
|
Other |
(0.1) |
|
0.9 |
|
nm |
|
Subtotal |
368.2 |
|
363.4 |
|
1% |
|
Johnny Was (acquired 9/19/2022) |
52.0 |
|
0.0 |
|
nm |
|
Total Company |
$420.3 |
|
$363.4 |
|
16% |
|
- Consolidated net sales increased 16% to $420 million.
- Full-price direct-to-consumer (DTC) sales increased 13% to $286
million versus the second quarter of fiscal 2022, including $41
million of DTC sales in Johnny Was and a 3% aggregate decrease in
full-price DTC sales in the Company’s other businesses.
- Full-price retail sales of $150 million were 11%, or $15
million, higher than the prior-year period. This includes
full-price retail sales in Johnny Was of $18 million for the second
quarter of fiscal 2023. Full-price retail sales in the Company’s
other businesses decreased by 3%.
- Full-price e-commerce sales grew 15%, or $17 million, to $136
million versus last year. This includes full-price e-commerce sales
in Johnny Was of $22 million. Full-price e-commerce sales in the
Company’s other businesses decreased by 4%.
- Outlet sales were $21 million, a 9%, or $2 million, increase
versus prior-year results, primarily due to the addition of Johnny
Was.
- There were $16 million of Lilly Pulitzer e-commerce flash sales
in the second quarter of fiscal 2023 compared to no Lilly Pulitzer
flash sales in the second quarter of fiscal 2022.
- Food and beverage sales grew 8%, or $2 million, to $30 million
versus last year.
- Wholesale sales of $68 million were 9%, or $6 million, higher
than the second quarter of fiscal 2022. Johnny Was contributed
wholesale sales of $10 million for the second quarter of fiscal
2023, with the other businesses in the aggregate decreasing by
7%.
- Gross margin was 63.9% on a GAAP basis, comparable to
prior-year results. Adjusted gross margin was 64.3% compared to
64.6% on an adjusted basis in the second quarter of fiscal 2022.
Second quarter gross margin reflects increased e-commerce flash
sales at Lilly Pulitzer and a greater proportion of sales during
loyalty award cards, flipside and end of season clearance events at
Tommy Bahama, partially offset by the higher gross margin of Johnny
Was and reduced freight expense.
- SG&A was $205 million compared to $163 million last year,
increasing primarily due to $32 million of Johnny Was SG&A in
the second quarter of 2023, which includes $3 million of
amortization of intangible assets. Across all operating groups,
SG&A increased due to increases in employment costs,
advertising costs, variable expenses, occupancy costs and other
expenses to support sales growth. On an adjusted basis, SG&A
was $202 million compared to $163 million in the prior-year
period.
- Royalties and other operating income decreased by $2 million to
$4 million versus last year. This decrease was primarily driven by
lower sales of Tommy Bahama’s licensing partners.
- Operating income was $68 million, or 16.1% of net sales,
compared to $75 million in the second quarter of fiscal 2022. On an
adjusted basis, operating income was $73 million, or 17.3% of net
sales, compared to $78 million in last year’s second quarter.
Year-over-year operating income results reflect higher SG&A as
the Company invests in the business, partially offset by sales
growth.
- Interest expense increased by $1 million compared to the
prior-year period. The increased interest expense was due to the
debt incurred in the acquisition of Johnny Was in fiscal 2022.
- The effective tax rate was 22.5% compared to 24.6% for the
prior-year period. The second quarter of fiscal 2023 benefitted
from the vesting of restricted share awards at a value greater than
the grant date stock price.
Balance Sheet and Liquidity
Inventory increased $26 million on a LIFO basis and $28 million,
or 14%, on a FIFO basis compared to the end of the second quarter
of fiscal 2022. The inventory increase reflects: (i) $18 million of
Johnny Was inventory, (ii) anticipated sales increases in fiscal
2023, (iii) higher levels of core product and (iv) higher product
costs.
During the first half of fiscal 2023 cash flow from operations
was $153 million compared to $91 million in the first half of
fiscal 2022. The cash flow from operations in the first half of
fiscal 2023 provided sufficient cash to fund $31 million of capital
expenditures, $21 million of dividends, $19 million of share
repurchases and $71 million to repay outstanding debt.
As of July 29, 2023, the Company had $48 million of borrowings
outstanding under its revolving credit agreement, compared to no
borrowings at the end of the second quarter of last year. Also, the
Company had $8 million of cash and cash equivalents versus $186
million of cash, cash equivalents and short-term investments at the
end of the second quarter of fiscal 2022. Both changes were due to
the acquisition of Johnny Was.
Dividend and Share Repurchase
The Board of Directors declared a quarterly cash dividend of
$0.65 per share. The dividend is payable on October 27, 2023 to
shareholders of record as of the close of business on October 13,
2023. The Company has paid dividends every quarter since it became
publicly owned in 1960.
In early August, the Company completed a $20 million share
repurchase program that commenced in the second quarter of fiscal
2023. The Company repurchased approximately 196,000 shares, or
approximately 1% of total shares outstanding, for an average price
of $102 per share.
Outlook
For fiscal 2023 ending on February 3, 2024, the Company
moderated its sales and EPS guidance. The Company now expects net
sales in a range of $1.570 billion to $1.600 billion as compared to
net sales of $1.41 billion in fiscal 2022. In fiscal 2023, GAAP EPS
is expected to be between $9.61 and $9.91 compared to fiscal 2022
GAAP EPS of $10.19. Adjusted EPS is expected to be between $10.30
and $10.60, compared to fiscal 2022 adjusted EPS of $10.88.
For the third quarter of fiscal 2023, the Company expects net
sales to be between $320 million and $335 million compared to net
sales of $313 million in the third quarter of fiscal 2022. GAAP EPS
is expected to be in a range of $0.74 to $0.94 in the third quarter
compared to GAAP EPS of $1.22 in the third quarter of fiscal 2022.
Adjusted EPS is expected to be between $0.90 and $1.10 compared to
adjusted EPS of $1.46 in the third quarter of fiscal 2022.
In addition to a more cautious macroeconomic environment,
updated guidance reflects a negative impact from the wildfires in
Maui, where Oxford has six brick-and-mortar locations, two of which
are food and beverage locations. Updated sales guidance is impacted
by approximately $7 million for the second half of fiscal 2023,
while EPS is impacted by roughly $0.20. Both of these changes are
expected to be evenly split between the third and fourth
quarters.
The Company anticipates interest expense of $5 million in fiscal
2023, including the $4 million in the first half of fiscal 2023 as
strong cash flows allow for continued reduction of debt during
fiscal 2023. The Company’s effective tax rate is expected to be
approximately 24% for the full year of fiscal 2023.
Capital expenditures in fiscal 2023, including the $31 million
in the first half of fiscal 2023, are expected to be approximately
$90 million compared to $47 million in fiscal 2022. The planned
increase is primarily due to increased investment in new brick and
mortar retail store and food and beverage locations as well as
certain relocations and remodels of existing locations, various
technology systems initiatives, and the anticipated initial spend
associated with a multi-year Southeastern United States fulfillment
center enhancement project to ensure best-in-class
direct-to-consumer throughput capabilities for the Company’s
brands.
Conference Call
The Company will hold a conference call with senior management
to discuss its financial results at 4:30 p.m. ET today. A live web
cast of the conference call will be available on the Company’s
website at www.oxfordinc.com. A replay of the call will be
available through September 14, 2023 by dialing (412) 317-6671
access code 13740752.
About Oxford
Oxford Industries, Inc., a leader in the apparel industry, owns
and markets the distinctive Tommy Bahama®, Lilly Pulitzer®, Johnny
Was®, Southern Tide®, The Beaufort Bonnet Company® and Duck Head®
lifestyle brands. Oxford's stock has traded on the New York Stock
Exchange since 1964 under the symbol OXM. For more information,
please visit Oxford's website at www.oxfordinc.com.
Basis of Presentation
All per share information is presented on a diluted basis.
Non-GAAP Financial Information
The Company reports its consolidated financial statements in
accordance with generally accepted accounting principles (GAAP). To
supplement these consolidated financial results, management
believes that a presentation and discussion of certain financial
measures on an adjusted basis, which exclude certain non-operating
or discrete gains, charges or other items, may provide a more
meaningful basis on which investors may compare the Company’s
ongoing results of operations between periods. These measures
include adjusted earnings, adjusted earnings per share, adjusted
gross profit, adjusted gross margin, adjusted SG&A, and
adjusted operating income, among others.
Management uses these non-GAAP financial measures in making
financial, operational, and planning decisions to evaluate the
Company’s ongoing performance. Management also uses these adjusted
financial measures to discuss its business with investment and
other financial institutions, its board of directors and others.
Reconciliations of these adjusted measures to the most directly
comparable financial measures calculated in accordance with GAAP
are presented in tables included at the end of this release.
Safe Harbor
This press release includes statements that constitute
forward-looking statements within the meaning of the federal
securities laws. Generally, the words "believe," "expect,"
"intend," "estimate," "anticipate," "project," "will" and similar
expressions identify forward-looking statements, which typically
are not historical in nature. We intend for all forward-looking
statements contained herein, in our press releases or on our
website, and all subsequent written and oral forward-looking
statements attributable to us or persons acting on our behalf, to
be covered by the safe harbor provisions for forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995 and the provisions of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934 (which Sections were adopted as part of the
Private Securities Litigation Reform Act of 1995). Such statements
are subject to a number of risks, uncertainties and assumptions
including, without limitation, demand for our products, which may
be impacted by competitive conditions and/or evolving consumer
shopping patterns; macroeconomic factors that may impact consumer
discretionary spending and pricing levels for apparel and related
products, many of which may be impacted by current inflationary
pressures, rising interest rates, concerns about the stability of
the banking industry or general economic uncertainty; acquisition
activities (such as the acquisition of Johnny Was), including our
ability to integrate key functions, recognize anticipated synergies
and minimize related disruptions or distractions to our business as
a result of these activities; supply chain disruptions; costs and
availability of labor and freight deliveries, including our ability
to appropriately staff our retail stores and food and beverage
locations; costs of products as well as the raw materials used in
those products, as well as our ability to pass along price
increases to consumers; energy costs; our ability to respond to
rapidly changing consumer expectations; weather or natural
disasters, including the ultimate impact of the recent wildfires on
the island of Maui; the ability of business partners, including
suppliers, vendors, wholesale customers, licensees, logistics
providers and landlords, to meet their obligations to us and/or
continue our business relationship to the same degree as they have
historically; retention of and disciplined execution by key
management and other critical personnel; cybersecurity breaches and
ransomware attacks, as well as our and our third party vendors’
ability to properly collect, use, manage and secure business,
consumer and employee data; the level of our indebtedness,
including the risks associated with heightened interest rates on
the debt and the potential impact on our ability to operate and
expand our business; changes in international, federal or state
tax, trade and other laws and regulations, including the potential
imposition of additional duties; the timing of shipments requested
by our wholesale customers; fluctuations and volatility in global
financial and/or real estate markets; the timing and cost of retail
store and food and beverage location openings and remodels,
technology implementations and other capital expenditures,
including the timing, cost and successful implementation of changes
to our fulfillment network; pandemics or other public health
crises; expected outcomes of pending or potential litigation and
regulatory actions; the increased consumer, employee and regulatory
focus on environmental, social and governance issues; the
regulation or prohibition of goods sourced, or containing raw
materials or components, from certain regions and our ability to
evidence compliance; access to capital and/or credit markets;
factors that could affect our consolidated effective tax rate; the
risk of impairment to goodwill and other intangible assets; and
geopolitical risks, including those related to the war between
Russia and Ukraine. Forward-looking statements reflect our
expectations at the time such forward-looking statements are made,
based on information available at such time, and are not guarantees
of performance. Although we believe that the expectations reflected
in such forward-looking statements are reasonable, these
expectations could prove inaccurate as such statements involve
risks and uncertainties, many of which are beyond our ability to
control or predict. Should one or more of these risks or
uncertainties, or other risks or uncertainties not currently known
to us or that we currently deem to be immaterial, materialize, or
should underlying assumptions prove incorrect, actual results may
vary materially from those anticipated, estimated or projected.
Important factors relating to these risks and uncertainties
include, but are not limited to, those described in Part I. Item
1A. Risk Factors contained in our Annual Report on Form 10-K for
Fiscal 2022, and those described from time to time in our future
reports filed with the SEC. We caution that one should not place
undue reliance on forward-looking statements, which speak only as
of the date on which they are made. We disclaim any intention,
obligation or duty to update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise, except as required by law.
Contact: |
Brian J. Smith |
E-mail: |
InvestorRelations@oxfordinc.com |
Oxford Industries, Inc.Consolidated
Balance Sheets (in thousands, except par
amounts)(unaudited)
|
July 29,2023 |
July 30,2022 |
ASSETS |
|
|
Current Assets |
|
|
Cash and cash equivalents |
$ |
7,790 |
|
$ |
31,269 |
|
Short-term investments |
|
— |
|
|
154,754 |
|
Receivables, net |
|
55,583 |
|
|
48,691 |
|
Inventories, net |
|
161,866 |
|
|
135,483 |
|
Income
tax receivable |
|
19,401 |
|
|
19,743 |
|
Prepaid expenses and other current assets |
|
37,740 |
|
|
31,308 |
|
Total Current Assets |
$ |
282,380 |
|
$ |
421,248 |
|
Property
and equipment, net |
|
188,004 |
|
|
150,887 |
|
Intangible assets, net |
|
277,114 |
|
|
154,853 |
|
Goodwill |
|
123,079 |
|
|
23,861 |
|
Operating lease assets |
|
241,452 |
|
|
179,217 |
|
Other assets, net |
|
37,829 |
|
|
27,136 |
|
Total Assets |
$ |
1,149,858 |
|
$ |
957,202 |
|
LIABILITIES AND SHAREHOLDERS’ EQUITY |
|
|
Current Liabilities |
|
|
Accounts
payable |
$ |
76,216 |
|
$ |
76,974 |
|
Accrued
compensation |
|
20,481 |
|
|
28,779 |
|
Current
portion of operating lease liabilities |
|
67,676 |
|
|
53,119 |
|
Accrued expenses and other liabilities |
|
68,188 |
|
|
63,768 |
|
Total Current Liabilities |
$ |
232,561 |
|
$ |
222,640 |
|
Long-term debt |
|
48,472 |
|
|
— |
|
Non-current portion of operating lease liabilities |
|
219,207 |
|
|
180,092 |
|
Other
non-current liabilities |
|
20,402 |
|
|
19,200 |
|
Deferred
income taxes |
|
4,587 |
|
|
1,254 |
|
Shareholders’ Equity |
|
|
|
|
|
|
Common
stock, $1.00 par value per share |
|
15,630 |
|
|
15,960 |
|
Additional paid-in capital |
|
170,789 |
|
|
166,139 |
|
Retained
earnings |
|
440,319 |
|
|
355,037 |
|
Accumulated other comprehensive loss |
|
(2,109 |
) |
|
(3,120 |
) |
Total Shareholders’ Equity |
$ |
624,629 |
|
$ |
534,016 |
|
Total Liabilities and Shareholders’ Equity |
$ |
1,149,858 |
|
$ |
957,202 |
|
|
|
|
|
|
|
|
Oxford Industries, Inc.Consolidated
Statements of Operations (in thousands, except per share amounts)
(unaudited)
|
Second Quarter |
|
First Half |
|
Fiscal 2023 |
Fiscal 2022 |
|
Fiscal 2023 |
Fiscal 2022 |
Net sales |
$ |
420,319 |
|
$ |
363,430 |
|
|
$ |
840,416 |
|
$ |
716,011 |
|
Cost of goods sold |
|
151,590 |
|
|
131,281 |
|
|
|
296,558 |
|
|
257,485 |
|
Gross profit |
$ |
268,729 |
|
$ |
232,149 |
|
|
$ |
543,858 |
|
$ |
458,526 |
|
SG&A |
|
205,231 |
|
|
163,135 |
|
|
|
408,380 |
|
|
320,547 |
|
Royalties and other operating income |
|
4,176 |
|
|
6,357 |
|
|
|
12,497 |
|
|
13,370 |
|
Operating income |
$ |
67,674 |
|
$ |
75,371 |
|
|
$ |
147,975 |
|
$ |
151,349 |
|
Interest expense, net |
|
1,297 |
|
|
274 |
|
|
|
3,639 |
|
|
516 |
|
Earnings before income taxes |
$ |
66,377 |
|
$ |
75,097 |
|
|
$ |
144,336 |
|
$ |
150,833 |
|
Income tax expense |
|
14,924 |
|
|
18,485 |
|
|
|
34,345 |
|
|
36,813 |
|
Net earnings |
$ |
51,453 |
|
$ |
56,612 |
|
|
$ |
109,991 |
|
$ |
114,020 |
|
Net earnings per share: |
|
|
|
|
|
Basic |
$ |
3.31 |
|
$ |
3.56 |
|
|
$ |
7.06 |
|
$ |
7.07 |
|
Diluted |
$ |
3.22 |
|
$ |
3.49 |
|
|
$ |
6.86 |
|
$ |
6.94 |
|
Weighted average shares outstanding: |
|
|
|
|
|
Basic |
|
15,550 |
|
|
15,919 |
|
|
|
15,589 |
|
|
16,118 |
|
Diluted |
|
15,979 |
|
|
16,238 |
|
|
|
16,025 |
|
|
16,430 |
|
Dividends declared per share |
$ |
0.65 |
|
$ |
0.55 |
|
|
$ |
1.30 |
|
$ |
1.10 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Oxford Industries, Inc.Consolidated
Statements of Cash Flows (in
thousands)(unaudited)First
Half
|
Fiscal 2023 |
Fiscal 2022 |
Cash Flows From Operating Activities: |
|
|
Net earnings |
$ |
109,991 |
|
$ |
114,020 |
|
Adjustments to reconcile net earnings to cash flows from operating
activities: |
|
|
|
|
|
|
Depreciation |
|
23,128 |
|
|
20,358 |
|
Amortization of intangible assets |
|
7,331 |
|
|
454 |
|
Equity compensation expense |
|
7,508 |
|
|
5,252 |
|
Gain on sale of assets |
|
(1,756 |
) |
|
— |
|
Amortization and write-off of deferred financing costs |
|
368 |
|
|
172 |
|
Deferred income taxes |
|
1,451 |
|
|
(1,657 |
) |
Changes in operating assets and liabilities, net of acquisitions
and dispositions: |
|
|
|
|
|
|
Receivables, net |
|
(11,611 |
) |
|
(15,322 |
) |
Inventories, net |
|
57,947 |
|
|
(17,867 |
) |
Income tax receivable |
|
39 |
|
|
(15 |
) |
Prepaid expenses and other current assets |
|
360 |
|
|
(11,541 |
) |
Current liabilities |
|
(39,471 |
) |
|
(939 |
) |
Other balance sheet changes |
|
(2,785 |
) |
|
(2,286 |
) |
Cash provided by operating activities |
$ |
152,500 |
|
$ |
90,629 |
|
Cash Flows From Investing Activities: |
|
|
Acquisitions, net of cash acquired |
|
(3,320 |
) |
|
— |
|
Purchases of property and equipment |
|
(31,410 |
) |
|
(19,746 |
) |
Purchases of short-term investments |
|
— |
|
|
(70,000 |
) |
Proceeds
from short-term investments |
|
— |
|
|
80,000 |
|
Proceeds
from the sale of property, plant and equipment |
|
2,125 |
|
|
— |
|
Other investing activities |
|
(33 |
) |
|
(50 |
) |
Cash used in investing activities |
$ |
(32,638 |
) |
$ |
(9,796 |
) |
Cash Flows From Financing Activities: |
|
|
Repayment of revolving credit arrangements |
|
(334,225 |
) |
|
— |
|
Proceeds
from revolving credit arrangements |
|
263,686 |
|
|
— |
|
Deferred
financing costs paid |
|
(1,661 |
) |
|
— |
|
Repurchase of common stock |
|
(18,987 |
) |
|
(72,680 |
) |
Proceeds
from issuance of common stock |
|
1,090 |
|
|
882 |
|
Repurchase of equity awards for employee tax withholding
liabilities |
|
(9,941 |
) |
|
(3,166 |
) |
Cash
dividends paid |
|
(20,843 |
) |
|
(17,829 |
) |
Other financing activities |
|
— |
|
|
(2,010 |
) |
Cash used in financing activities |
$ |
(120,881 |
) |
$ |
(94,803 |
) |
Net change in cash and cash equivalents |
|
(1,019 |
) |
|
(13,970 |
) |
Effect
of foreign currency translation on cash and cash equivalents |
|
(17 |
) |
|
380 |
|
Cash and cash equivalents at the beginning of year |
|
8,826 |
|
|
44,859 |
|
Cash and cash equivalents at the end of
period |
$ |
7,790 |
|
$ |
31,269 |
|
|
|
|
|
|
|
|
Oxford Industries, Inc.Reconciliations
of Certain Non-GAAP Financial Information (in millions, except per
share amounts)(unaudited)
|
Second Quarter |
First Half |
AS REPORTED |
|
Fiscal 2023 |
|
|
Fiscal 2022 |
|
% Change |
|
|
Fiscal 2023 |
|
|
Fiscal 2022 |
|
% Change |
|
Tommy Bahama |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net sales |
$ |
245.4 |
|
$ |
244.0 |
|
0.6 |
% |
$ |
484.9 |
|
$ |
472.0 |
|
2.7 |
% |
Gross profit |
$ |
155.3 |
|
$ |
156.8 |
|
(1.0 |
)% |
$ |
313.5 |
|
$ |
304.1 |
|
3.1 |
% |
Gross margin |
|
63.3 |
% |
|
64.3 |
% |
|
|
64.7 |
% |
|
64.4 |
% |
|
Operating income |
$ |
51.0 |
|
$ |
58.9 |
|
(13.4 |
)% |
$ |
106.6 |
|
$ |
111.5 |
|
(4.5 |
)% |
Operating margin |
|
20.8 |
% |
|
24.2 |
% |
|
|
22.0 |
% |
|
23.6 |
% |
|
Lilly Pulitzer |
|
|
|
|
|
|
Net sales |
$ |
91.3 |
|
$ |
88.7 |
|
3.0 |
% |
$ |
188.8 |
|
$ |
180.7 |
|
4.5 |
% |
Gross profit |
$ |
63.1 |
|
$ |
63.3 |
|
(0.3 |
)% |
$ |
131.4 |
|
$ |
126.8 |
|
3.6 |
% |
Gross margin |
|
69.1 |
% |
|
71.4 |
% |
|
|
69.6 |
% |
|
70.2 |
% |
|
Operating income |
$ |
18.6 |
|
$ |
21.5 |
|
(13.6 |
)% |
$ |
43.1 |
|
$ |
47.7 |
|
(9.6 |
)% |
Operating margin |
|
20.3 |
% |
|
24.2 |
% |
|
|
22.8 |
% |
|
26.4 |
% |
|
Johnny
Was(1) |
|
|
|
|
|
|
Net sales |
$ |
52.0 |
|
$ |
0.0 |
|
100.0 |
% |
$ |
101.5 |
|
$ |
0.0 |
|
100.0 |
% |
Gross profit |
$ |
35.9 |
|
$ |
0.0 |
|
100.0 |
% |
$ |
69.5 |
|
$ |
0.0 |
|
100.0 |
% |
Gross margin |
|
69.1 |
% |
|
0.0 |
% |
|
|
68.5 |
% |
|
0.0 |
% |
|
Operating income |
$ |
3.8 |
|
$ |
0.0 |
|
100.0 |
% |
$ |
6.3 |
|
$ |
0.0 |
|
100.0 |
% |
Operating margin |
|
7.4 |
% |
|
0.0 |
% |
|
|
6.2 |
% |
|
0.0 |
% |
|
Emerging Brands |
|
|
|
|
|
|
Net sales |
$ |
31.6 |
|
$ |
29.9 |
|
5.6 |
% |
$ |
65.6 |
|
$ |
61.7 |
|
6.3 |
% |
Gross profit |
$ |
15.8 |
|
$ |
14.1 |
|
11.8 |
% |
$ |
31.4 |
|
$ |
30.5 |
|
3.1 |
% |
Gross margin |
|
50.0 |
% |
|
47.2 |
% |
|
|
47.9 |
% |
|
49.4 |
% |
|
Operating income |
$ |
3.0 |
|
$ |
4.0 |
|
(24.1 |
)% |
$ |
6.9 |
|
$ |
11.7 |
|
(40.8 |
)% |
Operating margin |
|
9.6 |
% |
|
13.3 |
% |
|
|
10.6 |
% |
|
19.0 |
% |
|
Corporate and Other |
|
|
|
|
|
|
Net sales |
$ |
(0.1 |
) |
$ |
0.9 |
|
(108.6 |
)% |
$ |
(0.3 |
) |
$ |
1.6 |
|
NM |
|
Gross profit |
$ |
(1.4 |
) |
$ |
(2.1 |
) |
NM |
|
$ |
(2.0 |
) |
$ |
(2.9 |
) |
NM |
|
Operating loss |
$ |
(8.8 |
) |
$ |
(9.0 |
) |
NM |
|
$ |
(14.9 |
) |
$ |
(19.6 |
) |
NM |
|
Consolidated |
|
|
|
|
|
|
Net sales |
$ |
420.3 |
|
$ |
363.4 |
|
15.7 |
% |
$ |
840.4 |
|
$ |
716.0 |
|
17.4 |
% |
Gross profit |
$ |
268.7 |
|
$ |
232.1 |
|
15.8 |
% |
$ |
543.9 |
|
$ |
458.5 |
|
18.6 |
% |
Gross margin |
|
63.9 |
% |
|
63.9 |
% |
|
|
64.7 |
% |
|
64.0 |
% |
|
SG&A |
$ |
205.2 |
|
$ |
163.1 |
|
25.8 |
% |
$ |
408.4 |
|
$ |
320.5 |
|
27.4 |
% |
SG&A as % of net sales |
|
48.8 |
% |
|
44.9 |
% |
|
|
48.6 |
% |
|
44.8 |
% |
|
Operating income |
$ |
67.7 |
|
$ |
75.4 |
|
(10.2 |
)% |
$ |
148.0 |
|
$ |
151.3 |
|
(2.2 |
)% |
Operating margin |
|
16.1 |
% |
|
20.7 |
% |
|
|
17.6 |
% |
|
21.1 |
% |
|
Earnings before income taxes |
$ |
66.4 |
|
$ |
75.1 |
|
(11.6 |
)% |
$ |
144.3 |
|
$ |
150.8 |
|
(4.3 |
)% |
Net earnings |
$ |
51.5 |
|
$ |
56.6 |
|
(9.1 |
)% |
$ |
110.0 |
|
$ |
114.0 |
|
(3.5 |
)% |
Net earnings per diluted share |
$ |
3.22 |
|
$ |
3.49 |
|
(7.7 |
)% |
$ |
6.86 |
|
$ |
6.9 |
|
(1.2 |
)% |
Weighted average shares outstanding - diluted |
|
16.0 |
|
|
16.2 |
|
(1.6 |
)% |
|
16.0 |
|
|
16.4 |
|
(2.5 |
)% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Quarter |
First Half |
ADJUSTMENTS |
|
Fiscal 2023 |
|
|
Fiscal 2022 |
|
% Change |
|
Fiscal 2023 |
|
|
Fiscal 2022 |
|
% Change |
|
LIFO adjustments(2) |
$ |
1.4 |
|
$ |
2.7 |
|
|
$ |
2.8 |
|
$ |
3.7 |
|
|
|
Amortization of Johnny Was
intangible assets(3) |
$ |
3.5 |
|
$ |
0.0 |
|
|
$ |
6.9 |
|
$ |
0.0 |
|
|
|
Gain on sale of Merida
manufacturing facility(4) |
$ |
0.0 |
|
$ |
0.0 |
|
|
$ |
(1.8 |
) |
$ |
0.0 |
|
|
|
Impact
of income taxes(5) |
$ |
(1.3 |
) |
$ |
(0.7 |
) |
|
$ |
(2.1 |
) |
$ |
(0.9 |
) |
|
|
Adjustment to net earnings(6) |
$ |
3.6 |
|
$ |
2.1 |
|
|
$ |
5.9 |
|
$ |
2.8 |
|
|
|
AS ADJUSTED |
|
|
|
|
|
|
Tommy
Bahama |
|
|
|
|
|
|
Net sales |
$ |
245.4 |
|
$ |
244.0 |
|
0.6 |
% |
$ |
484.9 |
|
$ |
472.0 |
|
2.7 |
% |
Gross profit |
$ |
155.3 |
|
$ |
156.8 |
|
(1.0 |
)% |
$ |
313.5 |
|
$ |
304.1 |
|
3.1 |
% |
Gross margin |
|
63.3 |
% |
|
64.3 |
% |
|
|
64.7 |
% |
|
64.4 |
% |
|
Operating income |
$ |
51.0 |
|
$ |
58.9 |
|
(13.4 |
)% |
$ |
106.6 |
|
$ |
111.5 |
|
(4.5 |
)% |
Operating margin |
|
20.8 |
% |
|
24.2 |
% |
|
|
22.0 |
% |
|
23.6 |
% |
|
Lilly Pulitzer |
|
|
|
|
|
|
Net sales |
$ |
91.3 |
|
$ |
88.7 |
|
3.0 |
% |
$ |
188.8 |
|
$ |
180.7 |
|
4.5 |
% |
Gross profit |
$ |
63.1 |
|
$ |
63.3 |
|
(0.3 |
)% |
$ |
131.4 |
|
$ |
126.8 |
|
3.6 |
% |
Gross margin |
|
69.1 |
% |
|
71.4 |
% |
|
|
69.6 |
% |
|
70.2 |
% |
|
Operating income |
$ |
18.6 |
|
$ |
21.5 |
|
(13.6 |
)% |
$ |
43.1 |
|
$ |
47.7 |
|
(9.6 |
)% |
Operating margin |
|
20.3 |
% |
|
24.2 |
% |
|
|
22.8 |
% |
|
26.4 |
% |
|
Johnny
Was(1) |
|
|
|
|
|
|
Net sales |
$ |
52.0 |
|
$ |
0.0 |
|
100.0 |
% |
$ |
101.5 |
|
$ |
0.0 |
|
100.0 |
% |
Gross profit |
$ |
35.9 |
|
$ |
0.0 |
|
100.0 |
% |
$ |
69.5 |
|
$ |
0.0 |
|
100.0 |
% |
Gross margin |
|
69.1 |
% |
|
0.0 |
% |
|
|
68.5 |
% |
|
0.0 |
% |
|
Operating income |
$ |
7.3 |
|
$ |
0.0 |
|
100.0 |
% |
$ |
13.3 |
|
$ |
0.0 |
|
100.0 |
% |
Operating margin |
|
14.1 |
% |
|
0.0 |
% |
|
|
13.1 |
% |
|
0.0 |
% |
|
Emerging
Brands |
|
|
|
|
|
|
|
Net sales |
$ |
31.6 |
|
$ |
29.9 |
|
5.6 |
% |
$ |
65.6 |
|
$ |
61.7 |
|
6.3 |
% |
Gross profit |
$ |
15.8 |
|
$ |
14.1 |
|
11.8 |
% |
$ |
31.4 |
|
$ |
30.5 |
|
3.1 |
% |
Gross margin |
|
50.0 |
% |
|
47.2 |
% |
|
|
47.9 |
% |
|
49.4 |
% |
|
Operating income |
$ |
3.0 |
|
$ |
4.0 |
|
(24.1 |
)% |
$ |
6.9 |
|
$ |
11.7 |
|
(40.8 |
)% |
Operating margin |
|
9.6 |
% |
|
13.3 |
% |
|
|
10.6 |
% |
|
19.0 |
% |
|
Corporate and Other |
|
|
|
|
|
|
Net sales |
$ |
(0.1 |
) |
$ |
0.9 |
|
(108.6 |
)% |
$ |
(0.3 |
) |
$ |
1.6 |
|
NM |
|
Gross profit |
$ |
0.1 |
|
$ |
0.6 |
|
NM |
|
$ |
0.8 |
|
$ |
0.8 |
|
NM |
|
Operating loss |
$ |
(7.4 |
) |
$ |
(6.3 |
) |
NM |
|
$ |
(13.9 |
) |
$ |
(15.8 |
) |
NM |
|
Consolidated |
|
|
|
|
|
|
Net sales |
$ |
420.3 |
|
$ |
363.4 |
|
15.7 |
% |
$ |
840.4 |
|
$ |
716.0 |
|
17.4 |
% |
Gross profit |
$ |
270.2 |
|
$ |
234.9 |
|
15.0 |
% |
$ |
546.6 |
|
$ |
462.3 |
|
18.2 |
% |
Gross margin |
|
64.3 |
% |
|
64.6 |
% |
|
|
65.0 |
% |
|
64.6 |
% |
|
SG&A |
$ |
201.8 |
|
$ |
163.1 |
|
23.7 |
% |
$ |
401.5 |
|
$ |
320.5 |
|
25.2 |
% |
SG&A as % of net sales |
|
48.0 |
% |
|
44.9 |
% |
|
|
47.8 |
% |
|
44.8 |
% |
|
Operating income |
$ |
72.6 |
|
$ |
78.1 |
|
(7.1 |
)% |
$ |
155.9 |
|
$ |
155.1 |
|
0.5 |
% |
Operating margin |
|
17.3 |
% |
|
21.5 |
% |
|
|
18.6 |
% |
|
21.7 |
% |
|
Earnings before income taxes |
$ |
71.3 |
|
$ |
77.8 |
|
(8.4 |
)% |
$ |
152.3 |
|
$ |
154.6 |
|
(1.5 |
)% |
Net earnings |
$ |
55.1 |
|
$ |
58.7 |
|
(6.1 |
)% |
$ |
115.9 |
|
$ |
116.8 |
|
(0.8 |
)% |
Net earnings per diluted share |
$ |
3.45 |
|
$ |
3.61 |
|
(4.4 |
)% |
$ |
7.23 |
|
$ |
7.11 |
|
1.7 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Quarter |
|
Second Quarter |
|
Second Quarter |
First Half |
First Half |
|
Fiscal 2023 |
|
Fiscal 2023 |
|
Fiscal 2022 |
Fiscal 2023 |
Fiscal 2022 |
|
Actual |
|
Guidance(7) |
|
Actual |
Actual |
Actual |
Net
earnings per diluted share: |
|
|
|
|
|
GAAP basis |
$ |
3.22 |
|
$ |
3.14 - 3.34 |
|
$ |
3.49 |
|
$ |
6.86 |
|
$ |
6.94 |
|
LIFO
adjustments(8) |
|
0.07 |
|
|
0.00 |
|
|
0.13 |
|
|
0.13 |
|
|
0.17 |
|
Amortization of Johnny Was intangible assets(9) |
|
0.16 |
|
|
0.16 |
|
|
0.00 |
|
|
0.32 |
|
|
0.00 |
|
Gain on sale of Merida manufacturing facility(10) |
|
0.00 |
|
|
0.00 |
|
|
0.00 |
|
|
(0.08 |
) |
|
0.00 |
|
As adjusted(6) |
$ |
3.45 |
|
$ |
3.30 - 3.50 |
|
$ |
3.61 |
|
$ |
7.23 |
|
$ |
7.11 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Third QuarterFiscal
2023Guidance(11) |
|
Third QuarterFiscal
2022Actual |
Net earnings per diluted
share: |
|
|
|
|
GAAP basis |
$ |
0.74 - $0.94 |
|
$ |
1.22 |
|
LIFO adjustments(8) |
|
0.00 |
|
|
(0.03 |
) |
Inventory step-up charges in
Johnny Was(13) |
|
0.00 |
|
|
0.06 |
|
Amortization of Johnny Was
intangible assets(9) |
|
0.16 |
|
|
0.08 |
|
Transaction expenses and integration costs associated with Johnny
Was acquisition(14) |
|
0.00 |
|
|
0.13 |
|
As adjusted(6) |
$ |
0.90 - $1.10 |
|
$ |
1.46 |
|
|
|
|
|
|
|
|
|
Fiscal 2023
Guidance(12) |
Fiscal 2022 Actual |
Net earnings per diluted
share: |
|
|
GAAP basis |
$ |
9.61 - $9.91 |
|
$ |
10.19 |
|
LIFO adjustments(8) |
|
0.13 |
|
|
0.12 |
|
Inventory step-up charge in
Johnny Was(13) |
|
0.00 |
|
|
0.20 |
|
Amortization of Johnny Was
intangible assets(9) |
|
0.64 |
|
|
0.24 |
|
Transaction expenses and
integration costs associated with the Johnny Was
acquisition(14) |
|
0.00 |
|
|
0.13 |
|
Gain on
sale of Merida manufacturing facility(10) |
|
(0.08 |
) |
|
0.00 |
|
As adjusted(6) |
$ |
10.30 - $10.60 |
|
$ |
10.88 |
|
(1) Johnny Was was acquired on September 19, 2022 and results
presented reflect Johnny Was operations subsequent to the
acquisition date.(2) LIFO adjustments represents the impact of LIFO
accounting adjustments. These adjustments are included in cost of
goods sold in Corporate and Other.(3) Amortization of Johnny Was
intangible assets represents the amortization related to intangible
assets acquired as part of the Johnny Was acquisition. These
charges are included in SG&A in Johnny Was.(4) Gain on sale of
Merida manufacturing facility represents the gain on sale of
Oxford's last owned manufacturing facility, which was located in
Merida, Mexico and previously operated by the Lanier Apparel
operating group. The gain is included in royalties and other
operating income in Corporate and Other.(5) Impact of income taxes
represents the estimated tax impact of the above adjustments based
on the estimated applicable tax rate on current year earnings.(6)
Amounts in columns may not add due to rounding.(7) Guidance as
issued on June 7, 2023.(8) LIFO adjustments represents the impact,
net of income taxes, on net earnings per share resulting from LIFO
accounting adjustments. No estimate for LIFO accounting adjustments
is reflected in the guidance for any future periods.(9)
Amortization of Johnny Was intangible assets represents the impact,
net of income taxes, on net earnings per share resulting from the
amortization of intangible assets acquired as part of the Johnny
Was acquisition.(10) Gain on sale of Merida manufacturing facility
represents the impact, net of income taxes, on net earnings per
share resulting from the gain on sale of Oxford's last owned
manufacturing facility, which was located in Merida, Mexico and
previously operated by the Lanier Apparel operating group.(11)
Guidance as issued on August 31, 2023.(12) Guidance as issued on
August 31, 2023. Fiscal 2023 is a 53 week year ending on February
3, 2024, with the additional week included in the fourth quarter of
Fiscal 2023.(13) Inventory step-up charge in Johnny Was represents
the impact, net of income taxes, on net earnings per share of
purchase accounting adjustments resulting from the step-up of
inventory at acquisition of the Johnny Was business. No additional
inventory step-up charge is expected in future periods.(14)
Transaction expenses and integration costs associated with the
Johnny Was acquisition represents the impact of transaction costs
and integration costs, net of income taxes, on net earnings per
share.
|
Direct to Consumer Location Count |
|
|
End of Q1 |
|
|
End of Q2 |
|
|
End of Q3 |
|
|
End of Q4 |
|
Fiscal 2022 |
|
|
|
|
|
|
|
|
|
|
|
|
Tommy Bahama |
|
|
|
|
|
|
|
|
|
|
|
|
Full-price retail store |
|
102 |
|
|
102 |
|
|
102 |
|
|
103 |
|
Retail-food & beverage |
|
21 |
|
|
21 |
|
|
21 |
|
|
21 |
|
Outlet |
|
35 |
|
|
35 |
|
|
35 |
|
|
33 |
|
Total Tommy Bahama |
|
158 |
|
|
158 |
|
|
158 |
|
|
157 |
|
Lilly Pulitzer full-price retail store |
|
59 |
|
|
58 |
|
|
59 |
|
|
59 |
|
Johnny Was |
|
|
|
|
|
|
|
|
|
|
|
|
Full-price retail store |
|
— |
|
|
— |
|
|
64 |
|
|
65 |
|
Outlet |
|
— |
|
|
— |
|
|
2 |
|
|
2 |
|
Total Johnny Was |
|
— |
|
|
— |
|
|
66 |
|
|
67 |
|
Emerging Brands |
|
|
|
|
|
|
|
|
|
|
|
|
Southern Tide full-price retail store |
|
4 |
|
|
5 |
|
|
5 |
|
|
6 |
|
TBBC full-price retail store |
|
1 |
|
|
2 |
|
|
2 |
|
|
3 |
|
Total Oxford |
|
222 |
|
|
223 |
|
|
290 |
|
|
292 |
|
Fiscal 2023 |
|
|
|
|
|
|
|
|
|
|
|
|
Tommy Bahama |
|
|
|
|
|
|
|
|
|
|
|
|
Full-price retail store |
|
103 |
|
|
101 |
|
|
— |
|
|
— |
|
Retail-food & beverage |
|
21 |
|
|
22 |
|
|
— |
|
|
— |
|
Outlet |
|
33 |
|
|
33 |
|
|
— |
|
|
— |
|
Total Tommy Bahama |
|
157 |
|
|
156 |
|
|
— |
|
|
— |
|
Lilly Pulitzer full-price retail store |
|
59 |
|
|
59 |
|
|
— |
|
|
— |
|
Johnny Was |
|
|
|
|
|
|
|
|
|
|
|
|
Full-price retail store |
|
65 |
|
|
67 |
|
|
— |
|
|
— |
|
Outlet |
|
2 |
|
|
2 |
|
|
— |
|
|
— |
|
Total Johnny Was |
|
67 |
|
|
69 |
|
|
— |
|
|
— |
|
Emerging Brands |
|
|
|
|
|
|
|
|
|
|
|
|
Southern Tide full-price retail store |
|
9 |
|
|
13 |
|
|
— |
|
|
— |
|
TBBC full-price retail store |
|
3 |
|
|
3 |
|
|
— |
|
|
— |
|
Total Oxford |
|
295 |
|
|
300 |
|
|
— |
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Grafico Azioni Oxford Industries (NYSE:OXM)
Storico
Da Ago 2024 a Set 2024
Grafico Azioni Oxford Industries (NYSE:OXM)
Storico
Da Set 2023 a Set 2024