For the six months ended June 30, 2007, Tarrant Apparel had net sales of $116.2 million compared to $120.3 million in the same period in fiscal 2006.
Private Label sales, and sales of the American Rag brand both grew in the first six months of 2007, as compared to the same period of 2006. This helped to partially offset the absence of sales in three other Private Brand lines in 2007, as compared to 2006.
Gross profit for the first six months of 2007 was $24.9 million, compared to $25.2 million for the first six months of 2006. As a percentage of net sales, gross profit increased from 20.9% in the first six months of 2006 to 21.4% in the first six months of 2007.
The Company had a net loss of $192,000, or $0.01 per share, in the first six months of 2007, compared to net income of $1.4 million, or $0.05 per share in the first six months of 2006.
The fiscal 2007 results were impacted by a charge for $2 million in the first quarter of 2007 for due diligence and other fees incurred in connection with the acquisition of The Buffalo Group. On April 19, 2007, the parties mutually terminated the potential acquisition.
"Our second quarter results reflect continued progress in building our Private Label business and another quarter where operating efficiencies produced solid results,” said Gerard Guez, Chairman and Interim CEO of Tarrant Apparel Group.
“The second quarter results again reflect the popularity of the American Rag CIE line, along with the success of our Private Label business which helped to drive profitability."
The Company reiterated its previous Business Outlook, which called for 2007 full-year revenue of $230 million to $240 million.
marketing@alchempro.com
