Perry Ellis posts $2.4M 2Q loss on charges

Associated Press

MIAMI (AP) — Perry Ellis International Inc. said Thursday it posted a $2.4 million second-quarter loss. Earnings were pulled down by costs related to its restructuring and early retirement initiatives.

For the quarter ended July 28, the Miami-based company's loss amounted to 17 cents per share and compared with a profit of $1.8 million, or 11 cents per share, in the same quarter last year.

Excluding one-time charges for costs related to discontinued brands and a closed facility, along with a voluntary early retirement program, the company posted an adjusted profit of 1 cent per share.

Revenue fell 2.3 percent to $209.4 million.

Analysts, on average, expected adjusted profit of 2 cents per share on $204.1 million in revenue, according to a FactSet poll.

Perry Ellis said golf, direct-to-consumer, and women's contemporary merchandise continued to do well during the quarter, while its Perry Ellis and Rafaella collection businesses were less profitable.

Perry Ellis cut its full-year profit outlook to a range of $1.75 to $1.80 per share from its March prediction of $1.95 to $2 per share, citing costs related to a transition to new distribution channels and continued promotional activities into the fall season.

The company backed its previous full-year sales prediction of $990 million to $1 billion.

Analysts expect a profit of $2 per share on $975.6 million in revenue.