Delta Apparel hits over two-year low on Q4 loss

Delta Apparel

18/11/2022 16:03

** Shares of activewear maker Delta Apparel  DLA.N  fall as
much as 18% to over two-year low of $13.71
    ** Company posts quarterly net loss compared to a year-ago
profit on weaker consumer demand and higher input costs
    ** DLA reports Q4 net loss of $281 mln, or 4 cents/shr,
compared to profit of $6.86 mln, or 98 cents/shr, a year earlier
    ** Brokerage Telsey Advisory Group cuts PT to $21 from $25
    ** TAG says mass consumer activewear channel has seen
slowing demand, leading to gross margin deleverage resulting
from both unabsorbed fixed expense and raw materials costs
    ** However, Q4 net sales rose marginally to $115.5 mln
    ** Stock has fallen ~53% this year 
 (Reporting by Ananya Mariam Rajesh in Bengaluru)
 ((AnanyaMariam.Rajesh@thomsonreuters.com ; Twitter: https://twitter.com/AnanyaMariam))