American Apparel delays 10-Q filing but provides preliminary results

American Apparel (NYSEMKT:APP) discloses it will not meet the filing deadline for Q2 financial statements, but the filing contains preliminary figures including an estimated net loss of $15M, or ~$0.09/share, vs. a $38M net loss, or ~$0.34/share, in the prior-year period.

Net sales for the quarter are estimated at $162M, flat Y/Y; operating income was ~$5M vs. a year-ago loss from operations of $2M; operating expenses are estimated at $79M, or 49% of net sales, compared to $86M, or 53% of net sales, a year ago.

At June 30, APP had ~$10 million in cash; as of Aug. 1, it had ~$23M available for additional borrowing under its credit facility.

APP -4.3% AH.

Comments (6)
  • dhdhoora
    , contributor
    Comments (841) | Send Message
    Results not as bad as expected! It will take at least a couple of quarters to fix this mess, but several metrics are moving in the right direction. Once top line growth resumes, the company could fairly easily turn profitable. But, will need capital to deal with debt and any growth initiatives...


    12 Aug 2014, 07:12 PM Reply Like
  • WarrenDuccats
    , contributor
    Comments (103) | Send Message
    Say what you want about Dov Charney, but at least he turned his homework in on time.
    12 Aug 2014, 10:49 PM Reply Like
  • Duane Bair
    , contributor
    Comments (571) | Send Message
    Given the tremendous shake up at APP, I'm not too surprised that the 10Q is delayed. The initial metric reported are highly encouraging and suggest mgmt is taking the right steps towards fixing this company.


    I applaud the action of at least issuing the key performance numbers, even if they were unable to put together a full 10Q
    13 Aug 2014, 08:22 AM Reply Like
  • ponchy
    , contributor
    Comments (3) | Send Message
    LA TIMES SAYS: $APP seeing financial improvement, early report shows
    13 Aug 2014, 10:04 AM Reply Like
    , contributor
    Comment (1) | Send Message
    LA TIMES SAYS: $APP seeing financial improvement, early report shows




    1.In preliminary numbers, American Apparel shows financial improvement from last year


    2.American Apparel won't meet deadline for its second-quarter financial results, but early numbers show gains




    Aerican Apparel Inc., the Los Angeles retailer that recently ousted its controversial chief executive, said it won't meet the deadline to file its second-quarter financial results.


    The company said Tuesday that its new board of directors needs more time to review financial statements and ask questions of management. It did, however, release preliminary results that showed improvement from the previous year.
    13 Aug 2014, 10:04 AM Reply Like
  • ponchy
    , contributor
    Comments (3) | Send Message
    Don’t you think the results was not bad at all ?! It just didn't reach the estimate of -0.06 but it was so close. And operating expenses and income is looking pretty good actually.


    We may need to wait fire works until the end of summer but it looks like everything is getting back on track. With new BOD, $APP will reborn. I can't wait final report and the announcement of the NEW CEO with new plan for the future.


    And personally I believe $APP don't need to stick to "made in USA" too much. By creating second line for example like "World by American Apparel", we can outsource 30-40% of the business in Venezuela or Bangladesh, Indonesia paying $3 per hour for example while UNIQLO/H&M/Forever21 pays $0.30 per hour in China. That will be direct fighting against sweatshops in the whole world. And that is more meaningful than sticking to “Made in USA” only in Los Angeles.


    Luckily most of $APPs customers actually don't even care about "made in USA". You can find many tweets from girls in their 20s like "I love $APP so much but it's just too expensive!! Why??"


    I hope new CEO will know what her/his customers really want :) And that’s possible now with Dov stepping down. New young female CEO is the best. Dov may stay as a creative consultant.


    And once you search twitter, this song is everywhere. it’s like their $APP theme song. You know $APP will stay strong in this industry :)


    She looks so perfect in my American Apparel underwear!!
    13 Aug 2014, 12:06 PM Reply Like
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