Unifi Provides Preliminary Second Quarter Business Update and Announces Second Quarter Fiscal 2019 Earnings Conference Call
For the second quarter of fiscal 2019, the Company expects:
- Net sales of approximately
$167 million ; - Gross margins of approximately 8.4%;
- Operating loss between
($1.5) million and($0.5) million ; - Loss before income taxes between
($1.5) million and($0.5) million ; and - Adjusted EBITDA between
$4.5 million and $5.5 million .
"While we remain committed to delivering our revenue growth targets, and are confident in our Partner, Innovate and Build Strategy, our fiscal second quarter profitability was considerably lower than we anticipated," said
Mr. Hall concluded, "Despite these headwinds, we saw continued growth in certain international operations against foreign economic and currency pressure. As we look forward, we continue to forecast solid revenue growth in the second-half of fiscal 2019, and we expect to drive stronger operating income and Adjusted EBITDA given the recent decline in raw material costs, the seasonal demand that historically occurs in our third and fourth quarters, and the continued traction of our PVA portfolio. This second-half outlook includes gross margins near more seasonal norms in the third and fourth quarters. Therefore, we are reiterating our top-line guidance for the year and have adjusted our outlook for fiscal 2019 operating income and Adjusted EBITDA."
For fiscal 2019, the Company is updating its outlook as follows:
Current Fiscal 2019 Outlook |
Previous Fiscal 2019 Outlook |
Mid-single-digit percentage growth for net sales |
Mid-single-digit percentage growth for net sales |
Operating income between $19.0 million and $23.0 million Adjusted EBITDA between $42.0 million and $46.0 million |
Mid-single-digit percentage growth for operating income |
Capital expenditures of approximately $25.0 million |
Capital expenditures of approximately $25.0 million |
Effective tax rate in the mid-40% range |
Effective tax rate in the mid-40% range |
The preliminary, unaudited information contained herein remains subject to confirmation and finalization based on the Company's quarter-end closing procedures, including its execution of its internal controls over financial reporting and the subsequent occurrence or identification of events prior to the formal issuance of the quarterly financial statements.
Unifi Announces Second Quarter Fiscal 2019 Earnings Conference Call
The second quarter fiscal 2019 financial results and supporting materials will be available beginning the morning of the call on the Company's website at http://investor.unifi.com. The conference call can be accessed approximately 10 minutes prior to the beginning of the call by dialing (877) 359-9508 (Domestic) or (224) 357-2393 (International) and, when prompted, providing conference ID number 1466964.
There will also be a live audio webcast of the call, which can be accessed on the Company's website at http://investor.unifi.com.
A replay of the conference call will be available approximately two hours following the call through February 6, 2019 and can be accessed via the Company's website at http://investor.unifi.com. In addition, presentation slides will be available on the Company's website for 12 months following the call.
About
Cautionary Statement on Forward-Looking Statements
Certain statements included herein contain forward-looking statements within the meaning of federal securities laws about the financial condition and results of operations of
Factors that could contribute to such differences include, but are not limited to: the competitive nature of the textile industry and the impact of global competition; changes in the trade regulatory environment and governmental policies and legislation; the availability, sourcing and pricing of raw materials; general domestic and international economic and industry conditions in markets where
All such factors are difficult to predict, contain uncertainties that may materially affect actual results and may be beyond our control. New factors emerge from time to time, and it is not possible for management to predict all such factors or to assess the impact of each such factor on
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SOURCE
Alpha IR Group, 312-445-2870, UFI@alpha-ir.com