The gross profit margin improved by 30 basis points to 36.1 per cent in Q2 FY24. Selling, general, and administrative expenses as a per centage of net sales decreased to 27.1 per cent, down from 27.4 per cent in the prior year, the company said in a media release.

Operating income for the quarter rose by 22.0 per cent to $30.1 million. Net income increased to $22.6 million, or $0.82 per diluted share, up from $19.4 million, or $0.71 per diluted share, in Q2 FY23. The earnings per share (EPS) growth was attributed to the robust net sales performance and higher gross profit margins. On an adjusted basis, excluding $0.4 million in expenses related to the acquisition of Rogan’s, the adjusted EPS for Q2 FY24 was $0.83.

Despite the overall strong performance, comparable store sales for the thirteen-week period ending August 3, 2024, saw a decline of 2.1 per cent compared to the same period ending August 5, 2023.

“Customer engagement continued to exceed our expectations and sales momentum accelerated rapidly during our most important shopping event of the year, the Back-to-School season. We achieved a net sales record this quarter, surpassing all previous second quarter sales in our company’s history. Gross profit margin expanded versus prior year, we gained significant market share, and we delivered earnings above our guidance in the quarter,” said Mark Worden, president and chief executive officer.

Fibre2Fashion News Desk (DP)