Destination Maternity e-commerce sales up 43% in Q1FY18

For the reported period, the gross margin was 53.7 per cent and the selling, general and administrative (SG&A) expenses decreased 6.8 per cent to $51.9 million. While, the adjusted EBITDA before other charges was $7.9 million for the first quarter of fiscal 2018, an increase of 24.2 per cent compared to $6.3 million for the first quarter of fiscal 2017.

The company's net income was $0.2 million, or $0.02 per share (diluted), compared to a net loss of $1.1 million, or $0.08 per share (diluted), for the first quarter of fiscal 2017. The adjusted net income for the first quarter of fiscal 2018 was $1.0 million, or $0.07 per share (diluted), compared to the comparably adjusted net loss for the first quarter of fiscal 2017 of $0.7 million, or $0.05 per share (diluted).

"Our financial performance in the first quarter was in line with expectations, highlighted by reductions in SG&A, double digit growth in our e-commerce channel and increases in operating income," said Marla Ryan, chief executive officer of Destination Maternity. "While I am encouraged by our progress, there is more work to be done to unlock the company’s full potential and improve our overall operating performance."

"Since taking the helm as CEO, I have been working closely with our employees to implement a comprehensive and attainable business plan geared toward accelerating revenue growth, rationalising expenses and improving profitability. This includes identifying opportunities to expand our ecommerce sales platform, prioritising inventory optimisation and developing new partnerships and innovations that will help us better engage with our customers and drive strengthened brand loyalty."

Fibre2Fashion News Desk – India