-By Mansi Suryavanshi
Compared to a fiscal year 2021 ($322.7 million), net sales for the worldwide modern fashion company Vince Holding Corp. increased by 10.8% to $357.4 million. However, compared to a gross profit of $146.6 million or 45.4% of net sales in the prior fiscal year, a gross profit declined to $138 million or 38.6% of net sales.
In FY22, the company’s selling, general, and administrative costs rose from $146.1 million or 45.3% of sales in FY21 to $161.4 million or 45.2% of sales in FY22. In contrast to an operational income of $0.5 million in fiscal 2021, this led to a deficit from operations of $25.4 million.
According to a press statement from Vince Holding Corp, the company also reported a net loss of $38.3 million, or $3.14 per share, compared to a net loss of $12.7 million, or $1.07 per share, in the same period previous year.
In comparison to FY21, Vince’s net sales climbed by 12.6% to $319.1 million in FY22. Sales in the direct-to-consumer segment climbed by 10.4% to $149.8 million, while sales in the wholesale segment increased by 14.6% to $169.4 million compared to fiscal 2021.
In comparison to $56.7 million in profits during the same time previous year, operating an income before unallocated corporate expenses was $46 million.In contrast, compared to fiscal 2021, Rebecca Taylor and Parker’s net sales in FY22 fell by 2.2% to $38.3 million. Compared to a loss from operations of $9.2 million during the same period previous year, the current loss from operations was $21.3 million.
According to the press release, the company had 67 Vince stores open at the end of the fourth quarter of fiscal year 22—a net loss of 1 store from the same period the previous year. The fiscal year 2022 was difficult, but Jack Schwefel, the CEO of Vince Holding, said: “I am very proud of the resiliency of our staff, and I believe, with the actions we have taken, we are well positioned to generate improved outcomes and long-term success.
In order to end the year in a better financial position, we continued to take steps with regard to our inventory balance during the fourth quarter and made significant progress in winding down the Rebecca Taylor business. As we move forward, we’ll continue to exercise restraint and keep our attention on our long-term strategic goals.