Oxford Industries posts Q3 net loss of 0.10 dollar

Oxford Industries’ consolidated net sales increased 12 percent to 222.3 million dollars compared to 198.6 million dollars in the third quarter of fiscal 2015. The net loss from continuing operations was 0.10 dollar per share compared to 0.08 dollar in the same period of the prior year. On an adjusted basis, the net loss was 0.07 dollar against 0.08 dollars in the third quarter of fiscal 2015.

Commenting on the results, Thomas C. Chubb III, Chairman and CEO, said in a company announcement, "We are generally pleased with our third quarter results. We delivered solid top line growth and modestly improved operating results. We are mindful, however, that industry-wide traffic declines and an ongoing shift in consumer shopping patterns are increasingly evident features of today's retailing environment. The remaining eight weeks of our fiscal year are very important as they include not only holiday selling, but also the resort season and initial spring wholesale shipments, which are particularly meaningful to our brands."

Summary of the third quarter and nine months results

The company said 12 percent year over year increase in consolidated net sales was driven by the addition of Southern Tide and increased sales in all operating groups. Both Lilly Pulitzer and Lanier Apparel had percentage sales increases in the high teens in the quarter.

Gross profit increased 10 percent in the quarter to 118.3 million dollars and gross margin was 111 basis points lower than the same period of the prior year as Lanier Apparel's gross margin was lower and its business represented a greater proportion of total company sales than in the prior year.

For the first nine months of fiscal 2016, consolidated net sales increased 7 percent to 761.5 million dollars compared to 709.7 million dollars in the same period of fiscal 2015. Earnings from continuing operations increased to 2.55 dollars per share against 2.48 dollars in the same period of the prior year. Adjusted earnings increased to 2.67 dollars compared to 2.55 dollars in the first nine months of fiscal 2015.

Reveals outlook for FY16

For the full year, the company expects net sales in the 1.020 billion dollars to 1.035 billion dollars range and GAAP earnings per share in a range of 3.31 dollars to 3.46 dollars and adjusted earnings in a range of 3.50 dollars to 3.65 dollars. This compares with fiscal 2015 net sales of 969 million dollars and earnings per share of 3.64 dollars on an adjusted basis and 3.54 dollars on a GAAP basis.

The company also announced that its board of directors has approved a cash dividend of 0.27 dollar per share payable on January 27, 2017. The company has paid dividends every quarter since it became publicly owned in 1960.

Picture:Lilly Pulitzer