Delia’s posts first quarterly profit since 1999

A year’s worth of divestitures sharply reduced net sales at teen apparel marketer Delia’s (Nasdaq: DLIA), but they also helped the company reduce its net loss. For the fiscal year ended Feb. 2, net sales were $143.7 million, down 33% from $215.1 million in sales the previous year. But at $22.1 million, Delia’s consolidated net loss for the year was nearly one-quarter of the $79.7 million it was for fiscal 2000. During the past year, Delia’s sold such noncore brands as Storybook Heirlooms and TSI Soccer.

What’s more, for the first time since 1999, Delia’s posted a quarterly profit. For the fourth quarter of fiscal 2001, the cataloger/retailer reported net income of $310,000, excluding a noncash settlement of a class-action lawsuit related to the company’s November 2000 acquisition of iTurf. For the previous fourth quarter, the New York-based company lost $17.8 million. The turnaround came despite a 36% drop in net sales, to $49.0 million from $76.4 million. In addition to the divestitures, the company blamed sporadic mail delays for some of the decline.

Partner Content

Hincapie Sportswear Finds Omnichannel Success in the Cloud - Netsuite
For more and more companies, a cloud-based unified data solution is the way to make this happen. Custom cycling apparel maker Hincapie Sportswear has leveraged this capability to gain greater visibility into revenue streams, turning opportunities into sales more quickly while gaining overall operating efficiency. Download this ecommerce special report from Multichannel Merchant to more.
The Gift of Wow: Preparing your store for the holiday season - Netsuite
Being prepared for the holiday rush used to mean stocking shelves and making sure your associates were ready for the long hours. But the digital revolution has changed everything, most importantly, customer expectations. Retailers with a physical store presence should be asking themselves—what am I doing to wow the customer?
3 Critical Components to Achieving the Perfect Order - NetSuite
Explore the 3 critical components to delivering the perfect order.
Streamlining Unified Commerce Complexity - NetSuite
Explore how consolidating multiple systems through a cloud-based commerce platform provides a seamless experience for both you, and your customer.