Note A - Basis of Presentation and Description of Business
|6 Months Ended|
Mar. 28, 2020
|Notes to Financial Statements|
|Business Description and Basis of Presentation [Text Block]||
Note A—Basis of Presentation and Description of Business
We prepared the accompanying interim Condensed Consolidated Financial Statements in accordance with the instructions for Form
10-Q and Article
10of Regulation S-
X.Accordingly, they do
notinclude all of the information and footnotes required by U.S. generally accepted accounting principles ("U.S. GAAP") for complete financial statements. We believe these Condensed Consolidated Financial Statements include all normal recurring adjustments considered necessary for a fair presentation. Operating results for the
six-month periods ended
March 28, 2020
notnecessarily indicative of the results that
maybe expected for our fiscal year ending
October 3, 2020.Although our various product lines are sold on a year-round basis, the demand for specific products or styles reflects some seasonality, with sales in our
Junequarter generally being the highest and sales in our
Decemberquarter generally being the lowest. The COVID-
19pandemic is occurring during the seasonally strongest months of the business. As such, the historic seasonality
notbe indicative of future results. For more information regarding our results of operations and financial position, refer to the Consolidated Financial Statements and footnotes included in our Annual Report on Form
10-K for our fiscal year ended
September 28, 2019
, filed with the United States Securities and Exchange Commission (“SEC”).
Delta Apparel, Inc. (collectively with
DTG2Go,LLC, Salt Life, LLC, M.J. Soffe, LLC, and other subsidiaries, "Delta Apparel," "we," "us," "our," or the "Company") is a vertically-integrated, international apparel company. With approximately
8,400employees worldwide, we design, manufacture, source, and market a diverse portfolio of core activewear and lifestyle apparel products under our primary brands of Salt Life®, COAST®, Soffe®, and Delta. We are a market leader in the direct-to-garment digital print and fulfillment industry, bringing
DTG2Gotechnology and innovation to the supply chain of our customers. We specialize in selling casual and athletic products through a variety of distribution channels and tiers, including outdoor and sporting goods retailers, independent and specialty stores, better department stores and mid-tier retailers, mass merchants and e-retailers, the U.S. military, and through our business-to-business ecommerce sites. Our products are also made available direct-to-consumer on our websites and in our branded retail stores. This diversified distribution allows us to capitalize on our strengths to provide our activewear and lifestyle apparel products to a broad and evolving customer base whose shopping preferences
mayspan multiple retail channels.
We design and internally manufacture the majority of our products. More than
90%of the apparel units that we sell are sewn in our owned or leased facilities. This allows us to offer a high degree of consistency and quality, leverage scale efficiencies, and react quickly to changes in trends within the marketplace. We have manufacturing operations located in the United States, El Salvador, Honduras, and Mexico, and we use domestic and foreign contractors as additional sources of production. Our distribution facilities are strategically located throughout the United States to better serve our customers with same-day shipping on our catalog products and weekly replenishments to retailers.
We were incorporated in Georgia in
1999,and our headquarters is located in Greenville, South Carolina. Our common stock trades on the NYSE American under the symbol “DLA." We operate on a
53week fiscal year ending on the Saturday closest to
2020fiscal year is a
53-week year and will end on
October 3, 2020.Our
2019fiscal year was a
52-week year and ended on
September 28, 2019.
We make available copies of materials we file with, or furnish to, the SEC free of charge at https://ir.deltaapparelinc.com. The information found on our website is
notpart of this, or any other, report that we file with or furnish to the SEC. In addition, we will provide upon request, at
nocost, paper or electronic copies of our reports and other filings made with the SEC. Requests should be directed to: Investor Relations Department, Delta Apparel, Inc.,
322South Main Street, Greenville, South Carolina
29601.Requests can also be made by telephone to
5200,or via email at email@example.com.
The entire disclosure for the business description and basis of presentation concepts. Business description describes the nature and type of organization including but not limited to organizational structure as may be applicable to holding companies, parent and subsidiary relationships, business divisions, business units, business segments, affiliates and information about significant ownership of the reporting entity. Basis of presentation describes the underlying basis used to prepare the financial statements (for example, US Generally Accepted Accounting Principles, Other Comprehensive Basis of Accounting, IFRS).
Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef