Last10K.com

American Apparel, Inc (APP) SEC Filing 10-Q Quarterly report for the period ending Tuesday, March 31, 2015

SEC Filings

American Apparel, Inc

CIK: 1336545


Exhibit 99.1
AMERICAN APPAREL, INC. REPORTS
FIRST QUARTER 2015 FINANCIAL RESULTS

LOS ANGELES, May 11, 2015 - American Apparel, Inc. (the "Company") (NYSE MKT: APP), a vertically-integrated manufacturer, distributor, and retailer of branded fashion basic apparel, announced financial results for its first quarter ended March 31, 2015.
Highlights
Initial phase of strategic turnaround under way, and includes key initiatives in the areas of product development, e-commerce, retail store productivity, wholesale optimization, speed to market, cost cutting, brand building and infrastructure
Program to clear excess and slow-moving inventory implemented as part of management’s strategic shift to change the profile of inventory and actively reduce inventory levels to improve store merchandising, working capital and liquidity initiated in the first quarter
Strengthened the leadership team with hiring of the Chief Digital Officer, SVP Marketing, VP Demand Planning and Forecasting and SVP Chief Information Officer.
Reorganization and restructuring of critical business processes and platforms to drive performance improvements initiated in the first quarter
Loss per share in the first quarter 2015 was $0.15 and included $0.09 of significant charges
Adjusted EBITDA in the first quarter 2015 was $(7.9) million
Cash provided by operating activities in the first quarter 2015 was $3.1 million
Operating expenses in the first quarter 2015 decreased $8.6 million, or 11%, compared to the same period in 2014
Inventories in the first quarter 2015 decreased $25 million, or 17%, compared to the same period in 2014
Paula Schneider, Chief Executive Officer, commented, "American Apparel is an iconic brand with a loyal customer following and tremendous global brand awareness. The new executive management team and board of directors is committed to driving shareholder value and has implemented the initial phase of a multi-year strategic turnaround plan designed to improve operating and financial results over the long-term. Key areas of focus under the plan include infrastructure, operational and financial planning, expense control, design/product development, retail store productivity, e-commerce and wholesale optimization, e-commerce analytics, speed-to-market, and brand building. In the first quarter, we launched a program to improve the profile of our inventory by significantly reducing slow-moving merchandise. While we knew this would have a temporary negative impact on sales and margins, it should improve store merchandising, working capital and liquidity going forward. We also launched a merchandising turnaround plan to start replenishing stores with new styles and product. Also in the quarter, we began the arduous but vital task of reorganizing and restructuring a number of critical business processes, including product development, merchandise planning, operational and financial planning, inventory management, procurement, and demand planning. We are dedicated to this process and in the early stages of the strategic turnaround that will require time."
Operating Results - First Quarter 2015
Net sales for the first quarter of 2015 decreased 9% to 124.3 million from 137.1 million for the same period in 2014. Excluding the year over year impact from foreign exchange and stores closed in 2014 net sales decreased 4% for the same period in 2014. First quarter comparable store sales were negative 5% for both the first quarter of 2015 and 2014. Negatively impacting comparable store sales in the first quarter of 2015 was a strategic initiative to reduce inventory levels by accelerating the sale of slow-moving merchandise in the retail stores. This initiative shifted the merchandise mix in the retail and online stores towards clearance-related product.
Gross profit for the first quarter of 2015 decreased 34% to $47.5 million from $72 million for the same period in 2014. The decrease was related to discounts related to management’s strategic initiative to reduce inventory levels by accelerating the sale of slow-moving inventory, the foreign exchange impact of the strengthening US dollar and lower retail sales. Gross profit, excluding significant charges, decreased to 42.0% of net sales in the first quarter of 2015 from 52.5% in the first quarter of 2014.
Operating expense for the first quarter of 2015 decreased 11% from $79.0 million, compared to $70.3 million for the same period in 2014 due primarily to lower payroll from our cost reduction efforts and reduced rent, supplies and miscellaneous activities.

1

The following information was filed by American Apparel, Inc on Monday, May 11, 2015 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.

View differences made from one quarter to another to evaluate American Apparel, Inc's financial trajectory

Compare SEC Filings Year-over-Year (YoY) and Quarter-over-Quarter (QoQ)
Sample 10-K Year-over-Year (YoY) Comparison

Compare this 10-Q Quarterly Report to its predecessor by reading our highlights to see what text and tables were  removed  ,   added    and   changed   by American Apparel, Inc.

Continue

Assess how American Apparel, Inc's management team is paid from their Annual Proxy

Definitive Proxy Statement (Form DEF 14A)
Screenshot example of actual Proxy Statement

American Apparel, Inc's Definitive Proxy Statement (Form DEF 14A) filed after their 2015 10-K Annual Report includes:

  • Voting Procedures
  • Board Members
  • Executive Team
  • Salaries, Bonuses, Perks
  • Peers / Competitors

Continue

Tools

Financial Statements, Disclosures and Schedules

Inside this 10-Q Quarterly Report

Document
Consolidated Balance Sheets (unaudited)
Consolidated Balance Sheets Parenthetical
Consolidated Statements Of Cash Flows Reconciliation Of Net Loss To Net Cash Provided By (used In) Operating Activities (unaudited)
Consolidated Statements Of Cash Flows Statements (unaudited)
Consolidated Statements Of Operations And Comprehensive Loss (parentheticals)
Consolidated Statements Of Operations And Comprehensive Loss Statements (unaudited)
Accrued Expenses And Other Current Liabilities
Accrued Expenses And Other Current Liabilities (details)
Accrued Expenses And Other Current Liabilities (tables)
Business Segment And Geographic Area Information
Business Segment And Geographic Area Information (tables)
Business Segment And Geographic Area Information Key Financial Information Of The Company's Reportable Segments Before Unallocated Corporate Expenses (details)
Business Segment And Geographic Area Information Narrative (details)
Business Segment And Geographic Area Information Net Sales By Geographic Location Of Customer (details)
Business Segment And Geographic Area Information Reconciliation Of Reportable Segments Combined Loss From Operations To The Consolidated Loss Before Income Taxes (details)
Commitments And Contingencies
Commitments And Contingencies Operating Leases (details)
Condensed Consolidating Financial Information (tables)
Condensed Consolidating Financial Information Balance Sheet (details)
Condensed Consolidating Financial Information Cash Flow Statements (details)
Condensed Consolidating Financial Information Level 1 (notes)
Condensed Consolidating Financial Information Ownership (details)
Condensed Consolidating Financial Information Statement Of Operations And Comprehensive Loss (details)
Fair Value Of Financial Instruments
Fair Value Of Financial Instruments (tables)
Fair Value Of Financial Instruments Fair Value Of Financial Instruments (details)
Fair Value Of Financial Instruments Fv Measurements Of Liabilities Using Significant Unobservable Inputs On A Recurring Basis (details)
Income Taxes
Inventories
Inventories (tables)
Inventories Components Of Inventories (details)
Inventories Narrative (details)
Litigation
Long-term Debt
Long-term Debt (details)
Long-term Debt (tables)
Organization And Business
Organization And Business (details)
Property And Equipment
Property And Equipment (details)
Related Party Transaction
Related Party Transaction (details)
Revolving Credit Facilities And Current Portion Of Long-term Debt
Revolving Credit Facilities And Current Portion Of Long-term Debt (tables)
Revolving Credit Facilities And Current Portion Of Long-term Debt Narrative (details)
Revolving Credit Facilities And Current Portion Of Long-term Debt Revolving Credit Facilities And Current Portion Of Long-term Debt (details)
Shared-based Compensation
Shared-based Compensation (details)
Shared-based Compensation (restricted Stock Units) (details)
Shared-based Compensation (share-based Compensation) (details)
Shared-based Compensation (stock Options) (details)
Shared-based Compensation (tables)
Stockholders' Deficit
Stockholders' Deficit (tables)
Stockholders' Deficit At-the-market Offering (details)
Stockholders' Deficit Common Stock Warrants Issued, Forfeited, Expired And Outstanding (details)
Stockholders' Deficit Common Stock Warrants Narrative (details)
Stockholders' Deficit Earnings Per Share Dilutive Effect On The Shares Outstanding (details)
Stockholders' Deficit Public Offering Narrative (details)
Stockholders' Deficit Rights Plan (details)
Summary Of Significant Accounting Policies
Summary Of Significant Accounting Policies (details)
Summary Of Significant Accounting Policies (policies)
Summary Of Significant Accounting Policies Subsidiary (details)
Workers' Compensation And Other Self-insurance Reserves
Workers' Compensation And Other Self-insurance Reserves (details)
CIK: 1336545
Form Type: 10-Q Quarterly Report
Accession Number: 0001336545-15-000071
Submitted to the SEC: Mon May 11 2015 5:21:30 PM EST
Accepted by the SEC: Mon May 11 2015
Period: Tuesday, March 31, 2015
Industry: Blank Checks

External Resources:

Bookmark the Permalink:
https://last10k.com/sec-filings/1336545/0001336545-15-000071.htm