The Israeli textile group Delta Galil Industries Ltd. was able to achieve growth in sales and earnings in the third quarter of the 2022 financial year. However, due to the adverse conditions, the parent company of the Schiesser underwear brand corrected its forecast for the year downwards on Tuesday.
In the period from July to September, group sales reached a new record high of 512.0 million US dollars (495.6 million euros) and thus exceeded the level of the same quarter last year by 2.2 percent. Adjusted for exchange rate changes, sales even grew by six percent.
Earnings before interest and taxes (EBIT) were also higher than ever before in the company’s history: they rose by 4.0 percent to USD 55.1 million. Net income attributable to shareholders was $34.9 million, up 14.1 percent year-on-year.
However, due to the “negative effects of global exchange rate fluctuations, higher inventories and increasing discount activities in the market”, the group felt compelled to downgrade its annual forecasts. Management now only expects sales of between $2.023 billion and $2.030 billion for 2022, after previously expecting $2.082 billion to $2.108 billion. The target range for adjusted net income has been lowered from $138-145 million to $119-121 million.