International segment grows in Q4 2011 at True Religion

True Religion Apparel Inc announced financial results for the quarter and year ended December 31, 2011.

Net sales for the Company’s U.S. Consumer Direct segment, which includes the Company’s branded stores and e-commerce business, increased 23.7% to $77.3 million and accounted for 64.8% of the Company’s total net sales for the quarter. Fourth quarter same-store sales for the 92 stores open at least 12 full months and e-commerce increased 11.1%. The Company operated a total of 109 branded stores in the United States as of December 31, 2011, compared to 94 as of December 31, 2010.

The Company’s International segment’s 2011 net sales remained flat with 2010 at $19.0 million, as retail sales growth in Canada and the United Kingdom was offset by the decision to discontinue sales of merchandise in the Korea off-price channel.

Net sales for the Company’s U.S. Wholesale segment totaled $22.4 million, a 20.4% decrease as compared to the prior year. The decline primarily reflects the planned reduction in sales to off-price customers, which is consistent with the Company’s 2011 plan to support long-term brand value. Sales to the specialty store channel, which now accounts for a majority of this segment’s net sales, increased for the seventh consecutive quarter.

Gross profit increased 9.7% to $76.5 million, driven primarily by the overall sales growth. The gross margin rate increased 120 basis points to 64.1%, reflecting the ongoing sales mix shift towards the higher-margin U.S. Consumer Direct segment. The Consumer Direct segment’s gross margin rate decreased 230 basis points due to higher than expected markdowns in outlet stores to respond to the highly promotional environment.


For more details please visit : International segment grows in Q4 2011 at True Religion @ FIbre2fashion

0 comments:

Post a Comment

Copyright © ultimate style. All Rights Reserved.
Blogger Template designed by Click Bank Engine.