American Apparel (APP) Higher on Revenue Growth, Raised EBITDA Outlook

Shares of American Apparel (NYSE: APP) opened higher on Wednesday after reporting second quarter earnings after the bell on Tuesday. Revenue at American Apparel grew to $149.5 million compared to $133.8 million last year. Its retail business showed a 14 percent increase in comps, a trend the company expects to accelerate into the "upper teen to low twenty percent range" in August. The company also raised its EBITDA outlook.

American Apparel (NYSE: APP) showed a loss per share of 14C in the second quarter, in part due to store-level improvements, claims the company.

Dov Charney, Chairman and CEO of American Apparel, Inc. stated, “We are pleased with our second quarter results that again show solid growth and continuing momentum in all business segments and major geographies. Though the first two quarters are historically our slowest, significant sales growth allowed us to more than double our EBITDA performance to $7.6 million in the second quarter of 2012 from $3.7 million in the second quarter of 2011."

For 2012, the Company is raising its adjusted EBITDA outlook to $36 to $44 million from the prior estimate of $32 million to $40 million. This outlook assumes net sales of $604 million to $611 million and a gross profit margin of 53% to 54%. Capital expenditures are estimated at $13.7 million for 201

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• Etsy upgraded to buy at BofA on durable growth, buyback potential
• 'We expect salesforce.com (CRM) to capture a meaningful share of next-gen agentic workflows': Cantor
• Ross Stores raises 2026 outlook after strong second-quarter results