Gildan Activewear Inc. once again benefited from the recovery in the US economy, including consumers spending federal stimulus checks, reporting $ 146.4 million in second-quarter net income on Thursday.
Adjusted net income was $ 135.3 million for the quarter.
By comparison, Gildan reported a loss of $ 249.7 million in the second quarter of 2020, which mainly reflected the closure of retail stores in the early months of the COVID-19 pandemic.
Diluted earnings were 74 cents, down from a loss of $ 1.26 a year ago. Adjusted profit was 68 cents, down from a loss of 99 cents a year ago.
The average profit forecast was 53 cents by four analysts polled by Zacks Investment Research. Analysts generally do not include one-time gains and charges in their forecasts.
“Our business continued to grow in the second quarter as economic activity in North America developed positively and the strength of our Back to Basics strategy continued to drive higher profitability,” said said Glenn Chamandy, President and CEO of Gildan, in a statement.
Gildan defines its Back to Basics strategy as âsimplifying our product portfolio and reducing the complexity of manufacturing and distribution as we continue to improve our competitive positioningâ.