Positive outlook at Warnaco
New-York based apparel company The Warnaco Group, Inc. reported improved financial results for the fourth quarter and fiscal year ended December 29.
Fourth quarter net revenues rose 6% to $473 million compared with the corresponding period last year, while income fell to $22.2 from $26.4 million in the prior-year quarter.
For the full year, net revenues were $1.9 billion, up 12% year-on-year compared with $1.7 billion in the previous year. Operating income increased to $137 million compared with $119 million in 2006.
Revenues for its Sportswear Group in the fourth quarter rose 10% to $245.7 million from $223.3 million in the prior-year quarter, driven by significant revenue growth in the global Calvin Klein jeans business offset by modest declines in Chaps revenues. Intimate Apparel Group sales were also up, totalling $177.6 million compared with $153.5 million, a 16% rise.
Meanwhile, Swimwear Group revenues fell to $49.7 million compared with $70.8 million in the prior-year quarter. Operating loss for the group was $17.9 million compared with operating income of $7.4 million.
