GlobeNewswire Inc | Mar 25, 2021 04:05PM EDT

March 25, 2021

--Continued Strength in E-commerce---Provides Guidance for First Quarter and Fiscal 2021---Restores Dividend to pre-COVID level of $0.37 per Share; a 48% Increase Compared to Prior Dividend--

ATLANTA, March 25, 2021 (GLOBE NEWSWIRE) -- Oxford Industries, Inc. (NYSE: OXM) today announced financial results for its fourth quarter and fiscal 2020 year ended January 30, 2021. Consolidated net sales were $221 million in the fourth quarter of fiscal 2020 compared to $298 million in the fourth quarter of fiscal 2019. On a GAAP basis, the Company reported a loss of $0.74 per share in the fourth quarter of fiscal 2020 as compared to earnings of $0.90 per share in the same period of the prior year. Adjusted earnings were $0.13 per share in the fourth quarter of fiscal 2020 compared to adjusted earnings of $1.09 per share in the fourth quarter of fiscal 2019.

Full fiscal year consolidated net sales were $749 million in fiscal 2020 compared to $1.123 billion in fiscal 2019. The Company reported a loss of $5.77 per share on a GAAP basis in fiscal 2020 compared to earnings of $4.05 per share in fiscal 2019. On an adjusted basis, the Company reported a loss of $1.81 per share compared to earnings of $4.32 per share in fiscal 2019.

The Companys adjusted results in the fourth quarter of fiscal 2020 exclude a $15 million asset write-off related to an information technology project, and $3 million of charges related to the exit of Lanier Apparel. The Companys full year adjusted results exclude a $60 million Southern Tide impairment charge, the $15 million technology project write-off and $13 million of charges related to the exit of Lanier Apparel, partially offset by a $9 million favorable impact of LIFO accounting. More details can be found in the reconciliation table at the end of this release.

The Company finished fiscal 2020 in a strong liquidity position with $66 million of cash and cash equivalents and no borrowings outstanding under its revolving credit agreement. Unused availability was $301 million at the end of fiscal 2020. The Company finished fiscal 2019 with $52 million of cash and cash equivalents and no borrowings outstanding. The improvement in the Companys liquidity position was attributable to $84 million of cash flow from operations which funded capital expenditures, share repurchases, dividends and minority investments in smaller branded businesses.

Thomas C. Chubb III, Chairman and Chief Executive Officer, commented, This time last year, we were facing incredible uncertainties related to the pandemic, its duration and its effect on our business. In response we established three priorities for fiscal 2020: protect our people and our customers, protect our brands, and preserve liquidity. We were successful in achieving these important and fundamental goals. At the same time, as we moved through the year and our business gained momentum, it became even more evident that the strong strategic positioning of our brands in the marketplace combined with our omni-channel capabilities provides us with clear and compelling competitive advantages. The key learnings from the past year have helped further sharpen our focus on our highest return opportunities.

It is clear that e-commerce will be bigger and more important than ever following the accelerated shift to online spending during the pandemic, continued Mr. Chubb. The strength of our e-commerce platforms and our digital outreach to consumers led to a 28% increase in our full price e-commerce businesses in fiscal 2020. We added to these capabilities in 2020 and expanding our expertise and investment in digital will remain a priority in 2021 and beyond.

Despite the significant impact of temporary store closures and operating restrictions in 2020, we are confident that our retail strategy is going to serve us well as conditions normalize. Our 187 full-price retail stores are in desirable locations, where shopping is still entertainment. We believe food and beverage is an important complement to our beautiful stores and will continue to play a larger role in our retail evolution. In 2020, we opened four additional Tommy Bahama Marlin Bars and we will continue to invest in this promising concept moving forward. Whether online or in our stores and restaurants, we are committed to enhancing and delivering a shopping experience that recognizes and serves the customer in their brand discovery and purchasing preferences now and in the future.

Mr. Chubb concluded, Each of our brands - Tommy Bahama, Lilly Pulitzer, Southern Tide, The Beaufort Bonnet Company and Duck Head, simply put, make people happy. Our talented, highly engaged teams will continue to evolve and update our products and brand messaging to ensure they stay relevant for todays consumer and remain true to each brands unique DNA. This has been and will continue to be the key to our success as we deliver long-term value to our shareholders.

Summary of Results

-- Consolidated net sales decreased 26% in the fourth quarter of fiscal 2020 compared to the fourth quarter last year. For the full 2020 fiscal year, consolidated net sales decreased 33%. Full price e-commerce sales grew 26% and 28% in the fourth quarter and the full year, respectively, with growth in all the Companys branded businesses in the year.The Company, which temporarily closed its retail stores and restaurants in March 2020, began a gradual reopening of locations in the second quarter. At the time of this release, substantially all stores and restaurants are open, but many continue to operate under varying degrees of restricted conditions for the safety of employees and customers. Full price retail sales were 43% and 56% lower, respectively, in the fourth quarter and full year.Restaurant sales were 29% and 42% lower, respectively, in the fourth quarter and full year.Wholesale sales decreased 48% in the fourth quarter and the full year.

-- Gross margin was 54.3% in the fourth quarter compared to 55.9% in the fourth quarter last year. For the full year gross margin was 55.4% compared to 57.4% in fiscal 2019, with gross margin lower in each operating group. Gross margin was negatively impacted by a more promotional environment due to COVID-19 and inventory markdown charges, which were partially offset by LIFO accounting credits. -- SG&A decreased 6% or $8 million in the fourth quarter and 13% or $74 million in the full year on a GAAP basis. On an adjusted basis, SG&A decreased 17% or $24 million in the fourth quarter and 17% or $93 million in the full year. Cost savings measures in fiscal 2020 included a $63 million reduction in employment costs, a $10 million reduction in occupancy costs, and reductions in variable and other expenses. -- In the fourth quarter, the Company reported an operating loss of $17 million compared to an operating profit of $21 million in the same period of the prior year. On an adjusted basis, operating income was $3 million compared to $25 million in the fourth quarter of fiscal 2019. For the full 2020 fiscal year, the Company reported an operating loss of $124 million compared to an operating profit of $94 million in fiscal 2019. For the full year, on an adjusted basis, the Companys operating loss was $43 million in fiscal 2020 compared to an operating profit of $99 million in the prior year. -- The effective tax rate in the fourth quarter was a benefit of 28% compared to a charge of 27% in the fourth quarter of fiscal 2019. For the full year, the effective tax rate was a benefit of 24% compared to a charge of 26% in the prior year. -- The Company reported a loss per share of $0.74 on a GAAP basis and income per share of $0.13 on an adjusted basis in the fourth quarter of fiscal 2020. For the full year, the Company reported a loss of $5.77 on a GAAP basis and $1.81 on an adjusted basis.

Balance Sheet and Liquidity

Inventory decreased 19% to $124 million at the end of the fourth quarter compared to $152 million in the prior year with double-digit percentage decreases in each operating group.

As of January 30, 2021, the Company had a strong liquidity position with $66 million of cash and cash equivalents and no borrowings outstanding under its revolving credit agreement. Unused availability was $301 million at the end of fiscal 2020. At the end of the prior year, the Company had $52 million of cash and cash equivalents and no borrowings outstanding.

The Company believes its strong liquidity position will satisfy ongoing cash requirements for the foreseeable future. These cash requirements generally consist of working capital and other operating activity needs, capital expenditures and dividend payments.

In the full 2020 fiscal year, cash provided by operating activities was $84 million, which funded $29 million of capital expenditures, primarily for information technology initiatives to enhance our capabilities with regard to data, digital marketing and omni-channel retail, as well as investments in Marlin Bars and retail stores, resulting in free cash flow of $55 million. In fiscal 2020, the Company also paid dividends of $17 million, repurchased $20 million of shares and invested $6 million for minority interests in smaller branded apparel businesses.

Dividend

The Board of Directors declared a quarterly cash dividend of $0.37 per share, a 48% increase from the previous level of $0.25 per share. The dividend is payable on April 30, 2021 to shareholders of record as of the close of business on April 16, 2021. The Company has paid dividends every quarter since it became publicly owned in 1960.

Fiscal 2021 Outlook

For the full 2021 fiscal year, ending on January 29, 2022, the Company expects net sales to grow to between $940 million and $980 million as compared to net sales of $749 million in fiscal 2020. In fiscal 2021, GAAP earnings per share are expected to be between $2.65 and $3.05. Adjusted earnings per share are expected to be between $2.80 and $3.20. This compares to a loss on a GAAP basis of $5.77 per share and an adjusted loss of $1.81 per share in fiscal 2020.

For the first quarter of fiscal 2021, ending May 1, 2021, the Company expects net sales in a range of $220 million to $240 million, as compared to $160 million in the first quarter of fiscal 2020. In the first quarter of fiscal 2021, GAAP earnings per share are expected to be between $0.90 and $1.10. Adjusted earnings per share are expected to be between $0.95 and $1.15. This compares to a loss on a GAAP basis of $4.02 per share and an adjusted loss of $1.12 per share in the first quarter of fiscal 2020.

The Companys interest expense is expected to be approximately $1 million. The Companys effective tax rate for the first quarter is expected to be approximately 15% and for fiscal 2021 is expected to be approximately 20%. The tax rate for both the quarter and year are expected to benefit from certain discrete items.

Capital expenditures in fiscal 2021 are expected to be approximately $35 million, compared to $29 million in fiscal 2020, primarily reflecting investments in information technology initiatives and new Marlin Bars.

Conference Call

The Company will hold a conference call with senior management to discuss its financial results at 4:30 p.m. ET today. A live web cast of the conference call will be available on the Companys website at www.oxfordinc.com. A replay of the webcast will be available on the Companys website through April 8, 2021 or by dialing (412) 317-6671 access code 13717600.

About Oxford

Oxford Industries, Inc., a leader in the apparel industry, owns and markets the distinctive Tommy Bahama, Lilly Pulitzer and Southern Tide lifestyle brands, as well as other owned brands. Oxford's stock has traded on the New York Stock Exchange since 1964 under the symbol OXM. For more information, please visit Oxford's website at www.oxfordinc.com.

Basis of Presentation

All per share information is presented on a diluted basis.

Non-GAAP Financial Information

The Company reports its consolidated financial statements in accordance with generally accepted accounting principles (GAAP). To supplement these consolidated financial results, management believes that a presentation and discussion of certain financial measures on an adjusted basis, which exclude certain non-operating or discrete gains, charges or other items, may provide a more meaningful basis on which investors may compare the Companys ongoing results of operations between periods. These measures include adjusted earnings, adjusted earnings per share, adjusted gross profit, adjusted gross margin, adjusted SG&A, and adjusted operating income, among others.

Management uses these non-GAAP financial measures in making financial, operational, and planning decisions to evaluate the Companys ongoing performance. Management also uses these adjusted financial measures to discuss its business with investment and other financial institutions, its board of directors and others. Reconciliations of these adjusted measures to the most directly comparable financial measures calculated in accordance with GAAP are presented in tables included at the end of this release.

Safe Harbor

This press release includes statements that constitute forward-looking statements within the meaning of the federal securities laws. Generally, the words "believe," "expect," "intend," "estimate," "anticipate," "project," "will" and similar expressions identify forward-looking statements, which typically are not historical in nature. We intend for all forward-looking statements contained herein, in our press releases or on our website, and all subsequent written and oral forward-looking statements attributable to us or persons acting on our behalf, to be covered by the safe harbor provisions for forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and the provisions of Section27A of the Securities Act of 1933 and Section21E of the Securities Exchange Act of 1934 (which Sections were adopted as part of the Private Securities Litigation Reform Act of 1995). Such statements are subject to a number of risks, uncertainties and assumptions including, without limitation, the impact of the ongoing coronavirus (COVID-19) pandemic, including uncertainties about its scope and duration (including resurgence of COVID-19 cases), future store closures or other restrictions (including reduced hours and capacity) due to government mandates, and the effectiveness of store re-openings and reduction initiatives (including our ability to effectively renegotiate rent obligations), any or all of which may also affect many of the following risks; demand for our products, which may be impacted by competitive conditions and/or evolving consumer shopping patterns; macroeconomic factors that may impact consumer discretionary spending for apparel and related products; the impact of any restructuring initiatives we may undertake in one or more of our business lines, including the process, timing, costs, uncertainties and effects of our announced exit of the Lanier Apparel business; costs of products as well as the raw materials used in those products; expected pricing levels; costs of labor; the timing of shipments requested by our wholesale customers; expected outcomes of pending or potential litigation and regulatory actions; changes in international, federal or state tax, trade and other laws and regulations, including the potential imposition of additional duties; the ability of business partners, including suppliers, vendors, licensees and landlords, to meet their obligations to us and/or continue our business relationship to the same degree in light of current or future financial stress, staffing shortages, liquidity challenges and/or bankruptcy filings; weather; fluctuations and volatility in global financial markets; retention of and disciplined execution by key management; the timing and cost of store and restaurant openings and remodels, technology implementations and other capital expenditures; acquisition and disposition activities, including our ability to timely recognize expected synergies from acquisitions; access to capital and/or credit markets; the impact of tax and other legislative changes; changes in accounting standards and related guidance; and factors that could affect our consolidated effective tax rate, including estimated Fiscal 2020 taxable losses eligible for carry back under the CARES Act. Forward-looking statements reflect our expectations at the time such forward-looking statements are made, based on information available at such time, and are not guarantees of performance. Although we believe that the expectations reflected in such forward-looking statements are reasonable, these expectations could prove inaccurate as such statements involve risks and uncertainties, many of which are beyond our ability to control or predict. Should one or more of these risks or uncertainties, or other risks or uncertainties not currently known to us or that we currently deem to be immaterial, materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated, estimated or projected. Important factors relating to these risks and uncertainties include, but are not limited to, those described in Part I, Item 1A. contained in our Annual Report on Form 10-K for the period ended February 1, 2020 under the heading "Risk Factors" and those described from time to time in our subsequent and future reports filed with the SEC, including our Quarterly Reports on Form 10-Q for the fiscal quarters ended May 2, 2020 and October 31, 2020. You should not place undue reliance on forward-looking statements, which speak only as of the date on which they are made. We disclaim any intention, obligation, or duty to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Contact: Anne M. ShoemakerE-mail: InvestorRelations@oxfordinc.com



Oxford Industries, Inc.Consolidated Balance Sheets(in thousands, except par amounts)(unaudited) January30, February1, 2021 2020ASSETS Current Assets Cash and cash equivalents $ 66,013 $ 52,460 Receivables, net 30,418 57,862 Inventories, net 123,543 152,229 Income tax receivable 17,975 862 Prepaid expenses and other current assets 20,367 25,413 Total Current Assets $ 258,316 $ 288,826 Property and equipment, net 159,732 191,517 Intangible assets, net 156,187 175,005 Goodwill 23,910 66,578 Operating lease assets 233,775 287,181 Other assets, net 33,714 24,262 Total Assets $ 865,634 $ 1,033,369 LIABILITIES AND SHAREHOLDERS? EQUITY Current Liabilities Accounts payable $ 71,148 $ 65,491 Accrued compensation 18,897 19,363 Current portion of operating lease 60,886 50,198 liabilitiesAccrued expenses and other liabilities 45,321 42,727 Total Current Liabilities $ 196,252 $ 177,779 Long-term debt ? ?Non-current portion of operating lease 239,963 291,886 liabilitiesOther non-current liabilities 23,691 18,566 Deferred income taxes 16,540 ?Shareholders? Equity Common stock, $1.00 par value per share 16,889 17,040 Additional paid-in capital 156,508 149,426 Retained earnings 235,995 366,793 Accumulated other comprehensive loss (3,664 ) (4,661 )Total Shareholders? Equity 405,728 528,598 Total Liabilities and Shareholders? $ 865,634 $ 1,033,369 Equity



Oxford Industries, Inc.Consolidated Statements of Operations(in thousands, except per share amounts)(unaudited) Fourth Quarter Full Year Fiscal 2020 Fiscal2019 Fiscal2020 Fiscal2019Net sales $ 221,367 $ 297,596 $ 748,833 $ 1,122,790 Cost of goods sold 101,240 131,203 333,626 477,823 Gross profit $ 120,127 $ 166,393 $ 415,207 $ 644,967 SG&A 140,427 148,701 492,628 566,149 Impairment ofgoodwill and ? ? 60,452 ? intangible assetsRoyalties and other 3,675 3,388 14,024 14,857 operating incomeOperating (loss) $ (16,625 ) $ 21,080 $ (123,849 ) $ 93,675 incomeInterest expense, 355 74 2,028 1,245 net(Loss) earnings $ (16,980 ) $ 21,006 $ (125,877 ) $ 92,430 before income taxesIncome tax (benefit) (4,763 ) 5,674 (30,185 ) 23,937 provisionNet (loss) earnings $ (12,217 ) $ 15,332 $ (95,692 ) $ 68,493 Net (loss) earnings per share:Basic $ (0.74 ) $ 0.91 $ (5.77 ) $ 4.09 Diluted $ (0.74 ) $ 0.90 $ (5.77 ) $ 4.05 Weighted average shares outstanding:Basic 16,577 16,779 16,576 16,756 Diluted 16,577 16,965 16,576 16,914 Dividends declared $ 0.25 $ 0.37 $ 1.00 $ 1.48 per share



Oxford Industries, Inc.Consolidated Statements of Cash Flows(in thousands)(unaudited) Full Year Fiscal2020 Fiscal2019Cash Flows From Operating Activities: Net (loss) earnings $ (95,692 ) $ 68,493 Adjustments to reconcile net earnings(loss) to cash flows from operating activities:Depreciation 38,975 38,026 Amortization of intangible assets 1,111 1,171 Impairment of goodwill and intangible 60,452 ? assetsImpairment of property and equipment 19,828 1,090 Equity compensation expense 7,755 7,620 Amortization of deferred financing 384 costs 344Change in fair value of contingent 431 consideration 593Deferred income taxes (benefit) (18,332 ) (1,973 )expenseChanges in operating assets andliabilities, net of acquisitions and dispositions:Receivables, net 28,429 10,252 Inventories, net 29,355 8,187 Income tax receivable (17,113 ) 19 Prepaid expenses and other current 5,064 606 assetsCurrent liabilities 17,611 (14,282 )Other non-current assets, net 53,819 (283,335 )Other non-current liabilities (48,349 ) 285,237 Cash provided by operating activities $ 83,850 $ 121,926 Purchases of property and equipment (28,924 ) (37,421 )Other investing activities (5,727 ) ? Cash used in investing activities $ (34,651 ) $ (37,421 )Cash Flows From Financing Activities: Repayment of revolving credit (280,963 ) (122,241 )arrangementsProceeds from revolving credit 280,963 109,248 arrangementsDeferred financing costs paid (952 ) ?Repurchase of common stock (18,053 ) ? Proceeds from issuance of common 1,378 1,639 stockRepurchase of equity awards for (1,870 ) (2,728 )employee tax withholding liabilitiesCash dividends declared and paid (16,844 ) (25,215 )Other financing activities (459 ) (1,049 )Cash used in financing activities $ (35,848 ) $ (41,298 )Net change in cash and cash $ 13,351 $ 43,207 equivalentsEffect of foreign currency translation on cash and cash 202 926 equivalentsCash and cash equivalents at the 52,460 8,327 beginning of yearCash and cash equivalents at the end $ 66,013 $ 52,460 of year



Oxford Industries, Inc.Reconciliations of Certain Non-GAAP Financial Information(in millions, except per share amounts)(unaudited) Fourth Quarter Full Year AS REPORTED Fiscal2020 Fiscal2019 % Change Fiscal2020 Fiscal2019 % ChangeTommy Bahama Net sales $ 142.7 $ 196.0 (27.2 ) $ 419.8 $ 676.7 (38.0 ) % %Gross profit $ 82.5 $ 118.7 (30.5 ) $ 244.2 $ 413.2 (40.9 ) % %Gross margin 57.8 % 60.6 % 58.2 % 61.1 % Operating(loss) $ (10.0 ) $ 22.5 NM $ (53.3 ) $ 53.2 NMincomeOperating (7.0 )% 11.5 % (12.7 )% 7.9 % marginLilly PulitzerNet sales $ 54.4 $ 64.9 (16.2 ) $ 231.1 $ 284.7 (18.8 ) % %Gross profit $ 29.4 $ 36.3 (19.1 ) $ 138.0 $ 174.6 (21.0 ) % %Gross margin 54.1 % 56.0 % 59.7 % 61.3 % Operating $ 2.0 $ 5.1 (60.4 ) $ 27.7 $ 51.8 (46.5 )income % %Operating 3.7 % 7.9 % 12.0 % 18.2 % marginSouthern TideNet sales $ 7.5 $ 10.7 (29.7 ) $ 34.7 $ 46.4 (25.3 ) % %Gross profit $ 3.9 $ 5.1 (24.0 ) $ 11.8 $ 22.8 (48.2 ) % %Gross margin 51.5 % 47.6 % 34.1 % 49.1 % Operating )income $ 0.0 $ 0.7 (98.8 % $ (64.8 ) $ 5.6 NM(loss)Operating 0.1 % 6.4 % (186.9 )% 12.0 % marginLanier Apparel^(1)Net sales $ 8.8 $ 19.8 (55.5 ) $ 38.8 $ 95.2 (59.2 ) % %Gross profit $ 0.9 $ 3.9 (77.1 ) $ 0.3 $ 25.1 (98.8 ) % %Gross margin 10.1 % 19.5 % 0.8 % 26.4 % Operating )(loss) $ (5.4 ) $ (1.8 ) (201.6 % $ (26.7 ) $ 2.0 NMincomeOperating (61.1 )% (9.0 )% (68.7 )% 2.1 % marginCorporateand Other^ (1)Net sales $ 8.0 $ 6.1 30.1 % $ 24.5 $ 19.8 23.4 %Gross profit $ 3.5 $ 2.4 44.9 % $ 20.9 $ 9.3 124.6 %Operating $ (3.3 ) $ (5.5 ) 40.4 % $ (6.8 ) $ (18.8 ) 64.0 %lossConsolidated Net sales $ 221.4 $ 297.6 (25.6 ) $ 748.8 $ 1,122.8 (33.3 ) % %Gross profit $ 120.1 $ 166.4 (27.8 ) $ 415.2 $ 645.0 (35.6 ) % %Gross margin 54.3 % 55.9 % 55.4 % 57.4 % SG&A $ 140.4 $ 148.7 (5.6 ) $ 492.6 $ 566.1 (13.0 ) % %SG&A as % of 63.4 % 50.0 % 65.8 % 50.4 % net salesOperating(loss) $ (16.6 ) $ 21.1 NM $ (123.8 ) $ 93.7 NMincomeOperating (7.5 )% 7.1 % (16.5 )% 8.3 % margin(Loss)earnings $ (17.0 ) $ 21.0 NM $ (125.9 ) $ 92.4 NMbeforeincome taxesNet (loss) $ (12.2 ) $ 15.3 NM $ (95.7 ) $ 68.5 NMearningsNet (loss)earnings per $ (0.74 ) $ 0.90 NM $ (5.77 ) $ 4.05 NMdilutedshareWeightedaverage ) )shares 16.6 17.0 (2.3 % 16.6 16.9 (2.0 %outstanding- diluted



Fourth Quarter Full Year ADJUSTMENTS Fiscal2020 Fiscal2019 % Fiscal2020 Fiscal2019 % Change ChangeLIFOadjustments^ $ 0.1 $ 0.6 $ (9.2 ) $ 1.5 (2)Tommy BahamaJapaninventory $ 0.0 $ 0.2 $ 0.0 $ 0.2 markdowncharges ^(3)LanierApparel exitcharges in $ 0.3 $ 0.0 $ 6.7 $ 0.0 cost of goodssold^(4)Tommy BahamaJapan SG&A $ 0.0 $ 2.2 $ 0.0 $ 2.8 charges^(5)Tommy Bahamainformationtechnology $ 15.5 $ 0.0 $ 15.5 $ 0.0 projectwrite-off^(6)Amortizationof LillyPulitzerSignature $ 0.1 $ 0.1 $ 0.3 $ 0.3 Storeintangibleassets^(7)Amortizationof SouthernTide $ 0.1 $ 0.1 $ 0.3 $ 0.3 intangibleassets^(8)Southern Tideimpairment $ 0.0 $ 0.0 $ 60.2 $ 0.0 charges^(9)LanierApparelintangible $ 0.0 $ 0.0 $ 0.2 $ 0.0 assetimpairmentcharges^(10)LanierApparel exit $ 2.6 $ 0.0 $ 6.3 $ 0.0 charges in SG&A^(11)TBBC changein fair valueof contingent $ 0.6 $ 0.4 $ 0.6 $ 0.4 consideration^(12)Impact ofincome taxes^ $ (4.8 ) $ (0.5 ) $ (15.2 ) $ (0.8 ) (13)Adjustment tonet earnings^ $ 14.3 $ 3.1 $ 65.7 $ 4.6 (14)AS ADJUSTED Tommy Bahama Net sales $ 142.7 $ 196.0 (27.2 ) $ 419.8 $ 676.7 (38.0 ) % %Gross profit $ 82.5 $ 118.9 (30.6 ) $ 244.2 $ 413.4 (40.9 ) % %Gross margin 57.8 % 60.6 % 58.2 % 61.1 % Operating $ 5.4 $ 24.9 (78.1 ) $ (37.8 ) $ 56.2 NMincome (loss) %Operating 3.8 % 12.7 % (9.0 )% 8.3 % marginLilly PulitzerNet sales $ 54.4 64.9 (16.2 ) $ 231.1 $ 284.7 (18.8 ) % %Gross profit $ 29.4 36.3 (19.1 ) $ 138.0 $ 174.6 (21.0 ) % %Gross margin 54.1 % 56.0 % 59.7 % 61.3 % Operating $ 2.1 5.2 (59.7 ) $ 28.0 $ 52.1 (46.3 )income % %Operating 3.8 % 8.0 % 12.1 % 18.3 % marginSouthern Tide Net sales $ 7.5 $ 10.7 (29.7 ) $ 34.7 $ 46.4 (25.3 ) % %Gross profit $ 3.9 $ 5.1 (24.0 ) $ 11.8 $ 22.8 (48.2 ) % %Gross margin 51.5 % 47.6 % 34.1 % 49.1 % Operating $ 0.1 $ 0.8 (89.4 ) $ (4.3 ) $ 5.8 NMincome (loss) %Operating 1.1 % 7.0 % (12.3 )% 12.6 % marginLanier Apparel^(1)Net sales $ 8.8 $ 19.8 (55.5 ) $ 38.8 $ 95.2 (59.2 ) % %Gross profit $ 1.2 $ 3.9 (70.1 ) $ 7.0 $ 25.1 (72.1 ) % %Gross margin 13.1 % 19.5 % 18.0 % 26.4 % Operating $ (2.5 ) $ (1.8 ) (38.5 ) $ (13.4 ) $ 2.0 NM(loss) income %Operating (28.1 )% (9.0 )% (34.6 )% 2.1 % marginCorporate and Other^(1)Net sales $ 8.0 $ 6.1 30.1 % $ 24.5 $ 19.8 23.4 %Gross profit $ 3.6 $ 3.1 16.5 % $ 11.7 $ 10.8 8.7 %Operating $ (2.6 ) $ (4.4 ) (40.8 ) $ (15.4 ) $ (16.9 ) (9.1 )loss % %Consolidated Net sales $ 221.4 $ 297.6 (25.6 ) $ 748.8 $ 1,122.8 (33.3 ) % %Gross profit $ 120.5 $ 167.2 (28.0 ) $ 412.7 $ 646.6 (36.2 ) % %Gross margin 54.4 % 56.2 % 55.1 % 57.6 % SG&A $ 121.6 $ 145.9 (16.7 ) $ 469.7 $ 562.3 (16.5 ) % %SG&A as % of 54.9 % 49.0 % 62.7 % 50.1 % net salesOperating $ 2.6 $ 24.7 (89.6 ) $ (43.0 ) $ 99.1 NMincome (loss) %Operating 1.2 % 8.3 % (5.7 )% 8.8 % marginEarnings(loss) before $ 2.2 $ 24.6 NM $ (45.0 ) $ 97.9 NMincome taxesNet earnings $ 2.1 $ 18.5 NM $ (30.0 ) $ 73.1 NM(loss)Net earnings(loss) per $ 0.13 $ 1.09 NM $ (1.81 ) $ 4.32 NMdiluted share



Fourth Fourth Full Year Quarter Quarter Fiscal2020 Fiscal2019 Fiscal2020 Fiscal2019 Actual Actual Actual ActualNet (loss)earnings per dilutedshare:GAAP basis $ (0.74) $ 0.90 $ (5.77) $ 4.05LIFOadjustments^ 0.00 0.03 (0.39) 0.06(15)Amortizationof recentlyacquired 0.01 0.01 0.02 0.03intangibleassets^(16)Tommy BahamaJapan charges 0.00 0.13 0.00 0.16^(17)Tommy Bahamainformationtechnology 0.71 0.00 0.71 0.00projectwrite-off^(18)Impairment ofgoodwill and 0.00 0.00 3.02 0.00intangibleassets^(19)LanierApparel exit 0.12 0.00 0.57 0.00charges^(20)Change infair value ofcontingent 0.03 0.02 0.03 0.02consideration^(21)As adjusted^ $ 0.13 $ 1.09 $ (1.81) $ 4.32(14) First First Quarter Quarter Fiscal 2021 Fiscal 2020 Fiscal 2021 Fiscal2020 Guidance^ Actual Guidance^(22) Actual (22)Net earningsper diluted share:GAAP basis $ 0.90-1.10 $ (4.02) $ 2.65-3.05 (5.77)LIFOadjustments^ 0.00 (0.12) 0.00 (0.39)(15)Amortizationof recentlyacquired 0.00 0.01 0.02 0.02intangibleassets^(16)Tommy Bahamainformationtechnology 0.00 0.00 0.00 0.71projectwrite-off^(18)Impairment ofgoodwill and 0.00 3.02 0.00 3.02intangibleassets^(19)LanierApparel exit 0.05 0.00 0.14 0.57charges^(20)Change infair value ofcontingent 0.00 0.00 0.00 0.03consideration^(21)As adjusted^ $ 0.95-1.15 $ (1.12) $ 2.80-3.20 $ (1.81)(14) ^(1) As of the First Quarter of Fiscal 2020, the Duck Head^(R) operations areincluded in Corporate and Other, whereas the operations were previouslyincluded in Lanier Apparel. Lanier Apparel and Corporate and Other amounts forprior periods have been restated to conform to the current period presentation.^(2) LIFO adjustments represents the impact on cost of goods sold resultingfrom LIFO accounting adjustments. These adjustments are included in Corporateand Other.^(3) Tommy Bahama Japan inventory markdown charges represents the inventorymarkdown impact on cost of goods sold resulting from the restructuring and exitof the Tommy Bahama Japan operations, which was completed in the first half ofFiscal 2020. These charges are included in cost of goods sold in Tommy Bahama.^(4) Lanier Apparel exit charges in cost of goods sold relate to the ThirdQuarter of Fiscal 2020 decision to exit the Lanier Apparel business, which isexpected to be completed during the Second Half of Fiscal 2021. These chargesconsist of inventory markdowns and charges related to the Merida manufacturingfacility, which ceased operations in Fiscal 2020. These charges are included incost of goods sold in Lanier Apparel.^(5) Tommy Bahama Japan SG&A charges represents the SG&A impact of therestructuring and exit of the Tommy Bahama Japan operations, which wascompleted in the First Half of Fiscal 2020. These charges are included in SG&Ain Tommy Bahama.^(6) Tommy Bahama information technology project write-off represents a chargefor the write-off of previously capitalized costs related to a project that wasabandoned in the Fourth Quarter of Fiscal 2020. This charge is included in SG&Ain Tommy Bahama.^(7) Amortization of Lilly Pulitzer Signature Store intangible assetsrepresents the amortization related to intangible assets acquired as part ofLilly Pulitzer's acquisition of certain Lilly Pulitzer Signature Stores. Thesecharges are included in SG&A in Lilly Pulitzer.^(8) Amortization of Southern Tide intangible assets represents theamortization related to intangible assets acquired as part of the Southern Tideacquisition. These charges are included in SG&A in Southern Tide.^(9) Southern Tide impairment charges represents the impairment related togoodwill and intangible assets related to Southern Tide. These charges areincluded in impairment of goodwill and intangible assets in Southern Tide.^(10) Lanier Apparel intangible asset impairment charges represents theimpairment related to a trademark acquired in a prior year. This charge isincluded in impairment of goodwill and intangible assets in Lanier Apparel.^(11) Lanier Apparel exit charges in SG&A relate to the Third Quarter of Fiscal2020 decision to exit the Lanier Apparel business. These charges consist ofoperating lease asset impairment charges, employee charges, and fixed assetimpairment charges. These charges are included in SG&A in Lanier Apparel.(12) TBBC change in fair value of contingent consideration represents theimpact related to the change in the fair value of contingent considerationrelated to the TBBC acquisition. These charges are included in SG&A inCorporate and Other.^(13) Impact of income taxes represents the estimated tax impact of the aboveadjustments based on the estimated effective tax rate on current year earningsin the respective jurisdiction.^(14) Amounts in columns may not add due to rounding.^(15) LIFO adjustments represents the impact, net of income taxes, on net(loss) earnings per diluted share resulting from LIFO accounting adjustments.No estimate for LIFO accounting adjustments is reflected in the guidance forany future periods.^(16) Amortization of recently acquired intangible assets represents theimpact, net of income taxes, on net (loss) earnings per diluted share resultingfrom the amortization of intangible assets acquired as part of the LillyPulitzer Signature Store and Southern Tide acquisitions.^(17) Tommy Bahama Japan charges represents the impact, net of income taxes, onnet (loss) earnings per diluted share of the restructuring and exit of theTommy Bahama Japan operations.^(18) Tommy Bahama information technology project write-off represents theimpact, net of income taxes, on net (loss) earnings per diluted share resultingfrom a charge for the write-off of previously capitalized costs related to aproject that was abandoned in the Fourth Quarter of Fiscal 2020^(19) Impairment of goodwill and intangible assets represents the impact, netof income taxes, on net (loss) earnings per diluted share resulting from theimpairment charges in Southern Tide and Lanier Apparel. Due to thenon-deductibility of $18 million of Southern Tide goodwill amounts, theeffective tax rate on these impairment charges for goodwill and intangibleassets was 17%.^(20) Lanier Apparel exit charges represents the impact, net of income taxes,on net (loss) earnings per diluted share resulting from the Third Quarter ofFiscal 2020 decision to exit the Lanier Apparel.^(21) Change in fair value of contingent consideration represents the impact,net of income taxes, on net (loss) earnings per diluted share relating to thechange in the fair value of contingent consideration related to the TBBCacquisition.^(22) Guidance as issued on March 25, 2021.



Location Count Beginning of End of Q1 End of Q2 End of Q3 End of Q4 YearFiscal 2020 Tommy Bahama Full-price retail 111 110 107 106 105storeRetail-restaurant 16 18 19 19 20Outlet 35 35 35 35 35Total Tommy Bahama 162 163 161 160 160Lilly Pulitzer 61 61 59 59 59Southern Tide 1 1 2 3 3Oxford Total 224 225 222 222 222Fiscal 2019 Tommy Bahama Full-price retail 113 113 113 111 111storeRetail-restaurant 17 17 17 17 16Outlet 37 37 37 37 35Total Tommy Bahama 167 167 167 165 162Lilly Pulitzer 62 63 63 63 61Southern Tide ? ? ? ? 1Oxford Total 229 230 230 228 224