Business
Lakeland Industries, Inc. Reports Fiscal 2020 Second Quarter Financial Results
Vietnam Successfully Expanded to Largest Manufacturing Operation, with US, China, Mexico and Latin America Providing Diversification and Global Trade
About this update from Lakeland Industries, Inc.
[{"type":"text","content":"Vietnam Successfully Expanded to Largest Manufacturing Operation, with US, China, Mexico and Latin America Providing Diversification and Global Trade Management StrategyRONKONKOMA, NY / ACCESSWIRE / September 9, 2019 / Lakeland Industries, Inc. (NASDAQ:LAKE) (the “Company” or “Lakeland”), a leading global manufacturer of protective clothing for industry, healthcare and to first responders on the federal, state and local levels, today announced financial results for its fiscal 2020 second quarter ended July 31, 2019.Fiscal 2020 Second Quarter Financial Results Highlights and Recent DevelopmentsNet sales for Q2FY20 of $27.5 million, compared with Q2FY19 of $25.6 million and Q1FY20 of $24.7 millionGross profit for Q2FY20 of $10.4 million, compared with Q2FY19 of $9.2 million and Q1FY20 of $7.6 millionGross margin as a percentage of net sales in Q2FY20 was 37.9%, compared to 35.7% in Q2FY19 and 30.6% in Q1FY20Operating expenses of $7.8 million in Q2FY20, compared with $7.5 million in Q2FY19 and $7.9 million in Q1FY20Operating profit of $2.6 million in Q2FY20 increased from $1.6 million in Q2FY19 and an operating loss of $(0.3) million in Q1FY20Net income of $1.4 million in Q2FY20, compared with net income of $1.0 million in Q2FY19 and a net loss of $(465,000) in Q1FY20Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA)* of $2.6 million, as compared to $2.1 million in Q2FY19 and $269,000 in Q1FY20Capital expenditures for fiscal 2020 second quarter were $0.4 million as compared with approximately $1.0 million in the fiscal 2019 periodCash of $9.1 million at end of Q2FY20, down from $12.8 million at end of fiscal 2019, primarily resulting from increased inventories which reflect higher overall sales volume, the scaling up of manufacturing activities in Vietnam, and fulfilment of orders that had been backlogged due to prior delays in connection with ERP implementationTotal debt was $1,566,000 at end of Q2FY20, up from $1,319,000 at end of fiscal 20199,200 shares were repurchased during the three-month period ended July 31, 2019* Adjusted EBITDA is a non-GAAP financial measure. A reconciliation is provided in the tables of this press release.Management’s CommentsChristopher J. Ryan, President and Chief Executive Officer of Lakeland Industries, stated, “We delivered solid financial and operating performance pr...