Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Mar. 28, 2020 | Apr. 23, 2020 | |
Document Information [Line Items] | ||
Entity Registrant Name | DELTA APPAREL, INC | |
Entity Central Index Key | 0001101396 | |
Trading Symbol | dla | |
Current Fiscal Year End Date | --10-03 | |
Entity Filer Category | Accelerated Filer | |
Entity Current Reporting Status | Yes | |
Entity Emerging Growth Company | false | |
Entity Small Business | true | |
Entity Interactive Data Current | Yes | |
Entity Common Stock, Shares Outstanding (in shares) | 6,890,118 | |
Entity Shell Company | false | |
Document Type | 10-Q | |
Document Period End Date | Mar. 28, 2020 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Title of 12(b) Security | Common Stock, par value $0.01 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands | Mar. 28, 2020 | Sep. 28, 2019 |
Assets | ||
Cash and cash equivalents | $ 9,568 | $ 605 |
Accounts receivable, less allowances of $366 and $327, respectively | 58,682 | 59,337 |
Other receivables | 725 | 1,550 |
Income tax receivable | 703 | 729 |
Inventories, net | 197,333 | 179,107 |
Prepaid expenses and other current assets | 3,369 | 2,270 |
Total current assets | 270,380 | 243,598 |
Property, plant and equipment, net of accumulated depreciation of $86,893 and $81,787, respectively | 62,587 | 61,404 |
Goodwill | 37,897 | 37,897 |
Intangibles, net | 20,734 | 21,607 |
Deferred income taxes | 1,514 | 1,514 |
Operating lease assets | 43,226 | |
Equity method investment | 10,309 | 10,388 |
Other assets | 2,484 | 1,580 |
Total assets | 449,131 | 377,988 |
Current liabilities: | ||
Accounts payable | 56,022 | 52,320 |
Accrued expenses | 15,033 | 20,791 |
Current portion of contingent consideration | 1,970 | 2,790 |
Current portion of finance leases | 6,965 | 6,434 |
Current portion of operating leases | 8,525 | |
Current portion of long-term debt | 7,577 | 6,540 |
Total current liabilities | 96,092 | 88,875 |
Long-term taxes payable | 3,585 | 3,977 |
Long-term contingent consideration | 3,610 | 6,304 |
Long-term finance leases, less current maturities | 12,239 | 12,836 |
Long-term operating leases, less current maturities | 35,611 | |
Long-term debt, less current maturities | 141,088 | 109,296 |
Deferred income taxes | 1,355 | 1,519 |
Other non-current liabilities | 1,914 | 1,293 |
Total liabilities | 295,494 | 224,100 |
Shareholder's equity: | ||
Preferred stock - $0.01 par value, 2,000,000 shares authorized, none issued and outstanding | ||
Common stock - $0.01 par value, 15,000,000 authorized, 9,646,972 shares issued, and 6,890,118 and 6,921,417 shares outstanding as of March 28, 2020, and September 28, 2019, respectively | 96 | 96 |
Additional paid-in capital | 59,440 | 59,855 |
Retained earnings | 139,171 | 136,937 |
Accumulated other comprehensive loss | (1,433) | (969) |
Treasury stock - 2,756,854 and 2,725,555 shares as of March 28, 2020, and September 28, 2019, respectively | (43,133) | (41,750) |
Equity attributable to Delta Apparel, Inc. | 154,141 | 154,169 |
Equity attributable to non-controlling interest | (504) | (281) |
Total equity | 153,637 | 153,888 |
Total liabilities and equity | $ 449,131 | $ 377,988 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) $ in Thousands | Mar. 28, 2020 | Sep. 28, 2019 |
Allowances for accounts receivable | $ 366 | $ 327 |
Property, plant and equipment, accumulated deprecation | $ 86,893 | $ 81,787 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 2,000,000 | 2,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 15,000,000 | 15,000,000 |
Common stock, shares issued (in shares) | 9,646,972 | 9,646,972 |
Common stock, shares outstanding (in shares) | 6,890,118 | 6,921,417 |
Treasury stock (in shares) | 2,756,854 | 2,725,555 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 28, 2020 | Mar. 30, 2019 | Mar. 28, 2020 | Mar. 30, 2019 | |
Net sales | $ 96,660 | $ 102,838 | $ 192,550 | $ 204,513 |
Cost of goods sold | 76,079 | 83,930 | 152,075 | 167,036 |
Gross profit | 20,581 | 18,908 | 40,475 | 37,477 |
Selling, general and administrative expenses | 17,941 | 17,056 | 36,147 | 33,841 |
Other (income) loss, net | (914) | (843) | (1,863) | 902 |
Operating income | 3,554 | 2,695 | 6,191 | 2,734 |
Interest expense, net | 1,808 | 1,985 | 3,610 | 3,750 |
Earnings (loss) before provision for (benefit from) income taxes | 1,746 | 710 | 2,581 | (1,016) |
Provision for (benefit from) income taxes | 526 | (115) | 570 | (614) |
Consolidated net earnings (loss) | 1,220 | 825 | 2,011 | (402) |
Net loss attributable to non-controlling interest | 91 | 117 | 223 | 193 |
Net earnings (loss) attributable to shareholders | $ 1,311 | $ 942 | $ 2,234 | $ (209) |
Basic earnings (loss) per share (in dollars per share) | $ 0.19 | $ 0.14 | $ 0.32 | $ (0.03) |
Diluted earnings (loss) per share (in dollars per share) | $ 0.19 | $ 0.13 | $ 0.32 | $ (0.03) |
Weighted average number of shares outstanding (in shares) | 6,957 | 6,943 | 6,953 | 6,933 |
Dilutive effect of stock awards (in shares) | 98 | 160 | 110 | |
Weighted average number of shares assuming dilution (in shares) | 7,055 | 7,103 | 7,063 | 6,933 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 28, 2020 | Mar. 30, 2019 | Mar. 28, 2020 | Mar. 30, 2019 | |
Net earnings (loss) attributable to shareholders | $ 1,311 | $ 942 | $ 2,234 | $ (209) |
Other comprehensive loss related to unrealized loss on derivatives, net of income tax | (595) | (257) | (464) | (629) |
Consolidated comprehensive income (loss) | $ 716 | $ 685 | $ 1,770 | $ (838) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Treasury Stock [Member] | Noncontrolling Interest [Member] | Total |
Balance (in shares) at Sep. 29, 2018 | 9,646,972 | 2,737,526 | |||||
Balance at Sep. 29, 2018 | $ 96 | $ 61,979 | $ 128,695 | $ 136 | $ (40,881) | $ 93 | $ 150,118 |
Net earnings (loss) | (1,151) | (1,151) | |||||
Other comprehensive loss | (372) | (372) | |||||
Net loss attributable to non-controlling interest | (76) | (76) | |||||
Vested stock awards (in shares) | (153,472) | ||||||
Vested stock awards | (3,981) | $ 1,867 | (2,114) | ||||
Purchase of common stock | $ (1,711) | (1,711) | |||||
Purchase of common stock (in shares) | 92,148 | ||||||
Stock based compensation | 660 | 660 | |||||
Balance (in shares) at Dec. 29, 2018 | 9,646,972 | 2,676,202 | |||||
Balance at Dec. 29, 2018 | $ 96 | 58,658 | 127,544 | (236) | $ (40,725) | 17 | 145,354 |
Balance (in shares) at Sep. 29, 2018 | 9,646,972 | 2,737,526 | |||||
Balance at Sep. 29, 2018 | $ 96 | 61,979 | 128,695 | 136 | $ (40,881) | 93 | 150,118 |
Net earnings (loss) | (209) | ||||||
Net loss attributable to non-controlling interest | (193) | ||||||
Balance (in shares) at Mar. 30, 2019 | 9,646,972 | 2,711,555 | |||||
Balance at Mar. 30, 2019 | $ 96 | 59,121 | 128,486 | (493) | $ (41,443) | (100) | 145,667 |
Balance (in shares) at Dec. 29, 2018 | 9,646,972 | 2,676,202 | |||||
Balance at Dec. 29, 2018 | $ 96 | 58,658 | 127,544 | (236) | $ (40,725) | 17 | 145,354 |
Net earnings (loss) | 942 | 942 | |||||
Other comprehensive loss | (257) | (257) | |||||
Net loss attributable to non-controlling interest | (117) | (117) | |||||
Purchase of common stock | $ (718) | (718) | |||||
Purchase of common stock (in shares) | 35,353 | ||||||
Stock based compensation | 463 | 463 | |||||
Balance (in shares) at Mar. 30, 2019 | 9,646,972 | 2,711,555 | |||||
Balance at Mar. 30, 2019 | $ 96 | 59,121 | 128,486 | (493) | $ (41,443) | (100) | $ 145,667 |
Balance (in shares) at Sep. 28, 2019 | 9,646,972 | 2,725,555 | 6,921,417 | ||||
Balance at Sep. 28, 2019 | $ 96 | 59,855 | 136,937 | (969) | $ (41,750) | (281) | $ 153,888 |
Net earnings (loss) | 923 | 923 | |||||
Other comprehensive loss | 131 | 131 | |||||
Net loss attributable to non-controlling interest | (132) | (132) | |||||
Vested stock awards (in shares) | (67,406) | ||||||
Vested stock awards | (1,615) | $ 631 | (984) | ||||
Stock based compensation | 585 | 585 | |||||
Balance (in shares) at Dec. 28, 2019 | 9,646,972 | 2,658,149 | |||||
Balance at Dec. 28, 2019 | $ 96 | 58,825 | 137,860 | (838) | $ (41,119) | (413) | $ 154,411 |
Balance (in shares) at Sep. 28, 2019 | 9,646,972 | 2,725,555 | 6,921,417 | ||||
Balance at Sep. 28, 2019 | $ 96 | 59,855 | 136,937 | (969) | $ (41,750) | (281) | $ 153,888 |
Net earnings (loss) | 2,234 | ||||||
Net loss attributable to non-controlling interest | (223) | ||||||
Purchase of common stock | $ (52,500) | ||||||
Purchase of common stock (in shares) | 3,598,933 | ||||||
Balance (in shares) at Mar. 28, 2020 | 9,646,972 | 2,756,854 | 6,890,118 | ||||
Balance at Mar. 28, 2020 | $ 96 | 59,440 | 139,171 | (1,433) | $ (43,133) | (504) | $ 153,637 |
Balance (in shares) at Dec. 28, 2019 | 9,646,972 | 2,658,149 | |||||
Balance at Dec. 28, 2019 | $ 96 | 58,825 | 137,860 | (838) | $ (41,119) | (413) | 154,411 |
Net earnings (loss) | 1,311 | 1,311 | |||||
Other comprehensive loss | (595) | (595) | |||||
Net loss attributable to non-controlling interest | (91) | (91) | |||||
Vested stock awards (in shares) | (1,266) | ||||||
Vested stock awards | 4 | $ 15 | 19 | ||||
Purchase of common stock | $ (2,029) | $ (2,029) | |||||
Purchase of common stock (in shares) | 99,971 | 99,971 | |||||
Stock based compensation | 611 | $ 611 | |||||
Balance (in shares) at Mar. 28, 2020 | 9,646,972 | 2,756,854 | 6,890,118 | ||||
Balance at Mar. 28, 2020 | $ 96 | $ 59,440 | $ 139,171 | $ (1,433) | $ (43,133) | $ (504) | $ 153,637 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Mar. 28, 2020 | Mar. 30, 2019 | |
Operating activities: | ||
Consolidated net earnings (loss) | $ 2,011 | $ (402) |
Adjustment to reconcile net earnings (loss) to net cash used in operating activities: | ||
Depreciation and amortization | 6,381 | 5,859 |
Amortization of deferred financing fees | 157 | 153 |
Benefit from deferred income taxes | (490) | |
Non-cash stock compensation | 1,196 | 1,123 |
(Gain) loss on disposal of equipment | (28) | 2 |
Other, net | (1,555) | (1,435) |
Changes in operating assets and liabilities, net of effect of acquisition | ||
Accounts receivable | 1,480 | (11,882) |
Inventories, net | (18,226) | (10,416) |
Prepaid expenses and other current assets | (176) | 147 |
Other non-current assets | (285) | (20) |
Accounts payable | 4,065 | 10,920 |
Accrued expenses | (5,640) | (1,283) |
Change in net operating lease liabilities | 910 | |
Income taxes | (485) | (770) |
Other liabilities | (7) | 212 |
Net cash used in operating activities | (10,202) | (8,282) |
Investing activities: | ||
Purchases of property and equipment, net | (3,886) | (2,102) |
Cash paid for business | (1,660) | (3,699) |
Net cash used in investing activities | (5,546) | (5,801) |
Financing activities: | ||
Proceeds from long-term debt | 237,622 | 233,864 |
Repayment of long-term debt | (203,622) | (211,265) |
Repayment of capital financing | (2,714) | (2,031) |
Payment of contingent consideration | (2,500) | (564) |
Payment of deferred financing costs | (1,079) | |
Repurchase of common stock | (2,029) | (2,488) |
Payment of withholding taxes on stock awards | (967) | (2,116) |
Net cash provided by financing activities | 24,711 | 15,400 |
Net (decrease) increase in cash and cash equivalents | 8,963 | 1,317 |
Cash and cash equivalents at beginning of period | 605 | 460 |
Cash and cash equivalents at end of period | $ 9,568 | $ 1,777 |
Note A - Basis of Presentation
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 10 X. not three six March 28, 2020 not may October 3, 2020. June December 19 may not 10 September 28, 2019 , filed with the United States Securities and Exchange Commission (“SEC”). Delta Apparel, Inc. (collectively with DTG2Go, 8,400 DTG2Go may We design and internally manufacture the majority of our products. More than 90% We were incorporated in Georgia in 1999, 52 53 September 30. 2020 53 October 3, 2020. 2019 52 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 not no 322 29601. 864 232 5200, |
Note B - Accounting Policies
Note B - Accounting Policies | 6 Months Ended |
Mar. 28, 2020 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | Note B—Accounting Policies Our accounting policies are consistent with those described in our Significant Accounting Policies in our Annual Report on Form 10 September 28, 2019, |
Note C - New Accounting Standar
Note C - New Accounting Standards | 6 Months Ended |
Mar. 28, 2020 | |
Notes to Financial Statements | |
Description of New Accounting Pronouncements Not yet Adopted [Text Block] | Note C—New Accounting Standards Recently Adopted Standards In August 2017, No. 2017 12, Derivatives and Hedging (Topic 815 2017 12" 2017 12 2017 12 no 2017 12 September 29, 2019. 2017 12 not In January 2017, 2017 04, Intangibles - Goodwill and other (Topic 350 2017 04" 2017 04 2 2, 2017 04, not 2017 04 zero 2 zero 2017 04 September 29, 2019. 2017 04 not In February 2016, No. 2016 02, Leases 2016 02” 2016 02, 842, Leases 842” 842 September 29, 2019. not September 29, 2019, $44.6 $36.1 $8.5 $0.8 $43.8 no Standards Not In August 2018, No. 2018 15, Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract 2018 15” 2018 15 December 15, 2019, 2018 15 October 4, 2020 2021 2018 15 |
Note D - Revenue Recognition
Note D - Revenue Recognition | 6 Months Ended |
Mar. 28, 2020 | |
Notes to Financial Statements | |
Revenue from Contract with Customer [Text Block] | Note D—Revenue Recognition We only recognize revenue to the extent that it is probable that we will not March 28, 2020, September 28, 2019, $1.0 Our revenue streams consist of retail stores, direct-to-consumer ecommerce, and wholesale channels which are included in our Condensed Consolidated Statements of Operations. The table below identifies the amount and percentage of net sales by revenue stream (in thousands): Three Months Ended March 28, 2020 March 30, 2019 $ % $ % Retail $ 962 1 % $ 872 1 % Direct-to-consumer ecommerce 1,084 1 % 1,019 1 % Wholesale 94,614 98 % 100,947 98 % Net Sales $ 96,660 100 % $ 102,838 100 % Six Months Ended March 28, 2020 March 30, 2019 $ % $ % Retail $ 2,195 1 % $ 1,884 1 % Direct-to-consumer ecommerce 2,767 1 % 2,601 1 % Wholesale 187,588 98 % 200,028 98 % Net sales $ 192,550 100 % $ 204,513 100 % The table below provides net sales by reportable segment (in thousands) and the percentage of net sales by distribution channel for each reportable segment: Second Quarter Fiscal Year 2020 Net Sales Retail ecommerce Wholesale Delta Group $ 84,191 0.2 % 0.2 % 99.6 % Salt Life Group 12,469 6.4 % 7.1 % 86.5 % Total $ 96,660 Second Quarter Fiscal Year 2019 Net Sales Retail ecommerce Wholesale Delta Group $ 89,526 0.3 % 0.3 % 99.4 % Salt Life Group 13,312 4.4 % 5.7 % 89.9 % Total $ 102,838 Year To Date Fiscal Year 2020 Net Sales Retail ecommerce Wholesale Delta Group $ 173,143 0.3 % 0.3 % 99.4 % Salt Life Group 19,407 8.9 % 11.9 % 79.2 % Total $ 192,550 Year To Date Fiscal Year 2019 Net Sales Retail ecommerce Wholesale Delta Group $ 183,916 0.3 % 0.3 % 99.4 % Salt Life Group 20,597 6.1 % 9.7 % 84.2 % Total $ 204,513 |
Note E - Inventories
Note E - Inventories | 6 Months Ended |
Mar. 28, 2020 | |
Notes to Financial Statements | |
Inventory Disclosure [Text Block] | Note E—Inventories Inventories, net of reserves of $9.4 $10.0 March 28, 2020 September 28, 2019 March 28, 2020 September 28, 2019 Raw materials $ 13,461 $ 12,022 Work in process 16,568 17,765 Finished goods 167,304 149,320 $ 197,333 $ 179,107 Raw materials include finished yarn and direct materials for the Delta Group, undecorated garments for the DTG2Go |
Note F - Debt
Note F - Debt | 6 Months Ended |
Mar. 28, 2020 | |
Notes to Financial Statements | |
Long-term Debt [Text Block] | Note F—Debt Credit Facility On May 10, 2016, DTG2Go, November 27, 2017, March 9, 2018, October 8, 2018. On November 19, 2019, $145 $170 May 21, 2021 November 19, 2024, ( first 25 25% $10 The Amended Credit Agreement allows us to borrow up to $170 $25 no $200 As of March 28, 2020 $135.7 3.2%. $30.5 12 not 1.1 1.0. not March 28, 2020 March 28, 2020 September 28, 2019 $15.2 $16.1 The Amended Credit Agreement contains a subjective acceleration clause and a “springing” lockbox arrangement (as defined in ASC 470, 470" not See Note Q — April 27, 2020. Promissory Note On October 8, 2018, $7.0 6% January 2, 2019, October 1, 2021. March 28, 2020 $4.1 Honduran Debt Since March 2011, first not six 12 18 not six Additional information about these loans and the outstanding balances as of March 28, 2020 March 28, 2020 Revolving credit facility established March 2011, weighted average interest at 6.6% expiring August 2025 $ 6,267 Term loan established November 2014, interest at 6.0%, payable monthly with a six-year term 500 Term loan established June 2016, interest at 6.0%, payable monthly with a six-year term 631 Term loan established October 2017, interest at 6.0%, payable monthly with a six-year term 1,420 |
Note G - Leases
Note G - Leases | 6 Months Ended |
Mar. 28, 2020 | |
Notes to Financial Statements | |
Lessee, Leases [Text Block] | Note G—Leases We lease property and equipment under operating lease arrangements, most of which relate to distribution centers and manufacturing facilities in the U.S., Honduras, El Salvador, and Mexico. We also lease machinery and equipment under finance lease arrangements in the U.S. We include both the contractual term as well as any renewal option that we are reasonably certain to exercise in the determination of our lease terms. For leases with a term of greater than 12 12 not 842 not Generally, the rate implicit in our operating leases is not March 28, 2020, 4.2%. March 28, 2020, 5.1%. The following table presents the future undiscounted payments due on our operating and finance lease liabilities as well as a reconciliation of those payments to our operating and finance lease liabilities, recorded as of March 28, 2020 ( Operating Finance Leases Leases 2020 $ 5,509 $ 3,989 2021 9,488 6,684 2022 8,116 4,475 2023 6,119 3,464 2024 4,675 1,965 Thereafter 17,635 295 Undiscounted fixed lease payments $ 51,542 $ 20,872 Discount due to interest (7,406 ) (1,668) Total lease liabilities $ 44,136 $ 19,204 Less current maturities (8,525 ) (6,965 ) Lease liabilities, excluding current maturities $ 35,611 $ 12,239 As of March 28, 2020, not $1.0 $1.3 10 Our Ceiba Textiles manufacturing facility is leased under an operating lease arrangement with a Honduran company, of which we own 31% March 28, 2020. six March 28, 2020, March 30, 2019, $0.9 As of March 28, 2020, $43.2 $25.3 The weighted average remaining lease terms for our operating leases and finance leases were approximately 7 4 March 28, 2020. The components of total lease expense were as follows for the six March 28, 2020 ( Operating lease fixed expense $ 5,513 Operating lease variable cost expense 879 Finance lease amortization of ROU assets expense 1,630 Finance lease interest expense 486 Total lease expense $ 8,508 Total operating lease expense, excluding variable lease costs, recognized during the six March 30, 2019, 842, $5.2 six March 30, 2019, Cash outflows for operating lease payments and interest payments for finance leases during the six March 28, 2020, $5.4 $0.5 six March 28, 2020, $3.2 ROU assets obtained in exchange for operating lease and finance lease liabilities during the six March 28, 2020, $4.1 $4.4 six March 30, 2019, 842, $5.7 We do not |
Note H - Selling, General and A
Note H - Selling, General and Administrative Expense | 6 Months Ended |
Mar. 28, 2020 | |
Notes to Financial Statements | |
Selling General And Administrative Expense [Text Block] | Note H—Selling, General and Administrative Expense We include in selling, general and administrative ("SG&A") expenses the costs incurred subsequent to the receipt of finished goods at our distribution facilities, such as the cost of stocking, warehousing, picking, packing, and shipping goods for delivery to our customers. Distribution costs included in SG&A expenses totaled $4.8 $4.2 three March 28, 2020 March 30, 2019 $9.7 $8.4 six March 28, 2020, March 30, 2019, |
Note I - Stock-based Compensati
Note I - Stock-based Compensation | 6 Months Ended |
Mar. 28, 2020 | |
Notes to Financial Statements | |
Share-based Payment Arrangement [Text Block] | Note I—Stock-Based Compensation On February 6, 2020, 2020 "2020 2010 February 4, 2015 September 14, 2020. 2020 2010 2020 2020 may 2020 2020 2020 may 2020 449,714 2010 2010 2020 may 2010 2020 February 6, 2020, Shares are generally issued from treasury stock upon the vesting of the restricted stock units, performance units or other awards under the 2010 2020 Compensation expense is recorded within SG&A in our Condensed Consolidated Statements of Operations over the vesting periods. During the three March 28, 2020 March 30, 2019 $0.5 $0.6 six March 28, 2020, March 30, 2019, $1.4 $1.3 On February 5, 2020, 74,000 2010 10 October 1, 2022 On September 29, 2019, 60,000 2010 10 October 2, 2021. one As of March 28, 2020 $4.0 2010 2.6 No 2020 |
Note J - Purchase Contracts
Note J - Purchase Contracts | 6 Months Ended |
Mar. 28, 2020 | |
Notes to Financial Statements | |
Commitments Disclosure [Text Block] | Note J—Purchase Contracts We have entered into agreements, and have fixed prices, to purchase yarn, finished fabric, and finished apparel and headwear products. At March 28, 2020 Yarn $ 32,073 Finished fabric 2,276 Finished products 7,166 $ 41,515 |
Note K - Business Segments
Note K - Business Segments | 6 Months Ended |
Mar. 28, 2020 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | Note K—Business Segments Our operations are managed and reported in two The Delta Group is comprised of our business units primarily focused on core activewear styles, and includes our Delta Activewear (encompassing our Delta Catalog and FunTees businesses), Soffe, and DTG2Go ® ® ® DTG2Go seven DTG2Go 24 48 100 The Salt Life Group is comprised of our lifestyle brands focused on a broad range of apparel garments, headwear and related accessories to meet consumer preferences and fashion trends, and includes our Salt Life and Coast business units. These products are sold through specialty and boutique shops, traditional department stores, and outdoor retailers, as well as direct-to-consumer through branded ecommerce sites and branded retail stores. Products in this segment are marketed under our lifestyle brands of Salt Life® and COAST®, as well as other labels. Our Chief Operating Decision Maker and management evaluate performance and allocate resources based on profit or loss from operations before interest, income taxes and special charges ("segment operating earnings"). Our segment operating income may not 2 10 September 28, 2019, Three Months Ended Six Months Ended March 28, 2020 March 30, 2019 March 28, 2020 March 30, 2019 Segment net sales: Delta Group $ 84,191 $ 89,526 $ 173,143 $ 183,916 Salt Life Group 12,469 13,312 19,407 20,597 Total net sales $ 96,660 $ 102,838 $ 192,550 $ 204,513 Segment operating income: Delta Group (1) $ 5,066 $ 3,367 $ 12,334 $ 6,144 Salt Life Group 1,473 2,733 804 3,012 Total segment operating income $ 6,539 $ 6,100 $ 13,138 $ 9,156 ( 1 March 28, 2020, $1.9 March 2020. December 29, 2018, $2.5 2016 The following table reconciles the segment operating income to the consolidated earnings (loss) before provision for income taxes (in thousands): Three Months Ended Six Months Ended March 28, 2020 March 30, 2019 March 28, 2020 March 30, 2019 Segment operating income $ 6,539 $ 6,100 $ 13,138 $ 9,156 Unallocated corporate expenses 2,985 3,405 6,947 6,422 Unallocated interest expense 1,808 1,985 3,610 3,750 Consolidated earnings (loss) before provision for income taxes $ 1,746 $ 710 $ 2,581 $ (1,016 ) The Delta Group segment assets have increased by $48.0 September 28, 2019, $363.7 March 28, 2020 2016 02 $13.4 September 28, 2019 , to $71.0 March 28, 2020 2016 02. March 2020 19 |
Note L - Income Taxes
Note L - Income Taxes | 6 Months Ended |
Mar. 28, 2020 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | Note L—Income Taxes The Tax Cuts and Jobs Act of 2017 December 22, 2017, eight 163 50% 163 not 30% 163 2019. not The Coronavirus Aid, Relief, and Economic Security (“CARES Act”), which was enacted on March 27, 2020, 80% 163 30% 50% Certain tax deductions, including many of those provided under the New Tax Legislation and the CARES Act, include limitations based on U.S. taxable income, which may 19 six March 28, 2020, 20.3% 74.6% 5.5% 2019. We generally benefit from having income in foreign jurisdictions that are either exempt from income taxes or have tax rates that are lower than those in the United States. However, changes in the mix of U.S. taxable income compared to profits in tax-free or lower-tax jurisdictions can have a significant impact on our overall effective tax rate. Furthermore, we may 50% 19 may may may |
Note M - Derivatives and Fair V
Note M - Derivatives and Fair Value Measurements | 6 Months Ended |
Mar. 28, 2020 | |
Notes to Financial Statements | |
Derivatives and Fair Value [Text Block] | Note M—Derivatives and Fair Value Measurements From time to time, we may not March 28, 2020, none March 28, 2020 Notional Effective Date Amount Fixed LIBOR Rate Maturity Date Interest Rate Swap July 19, 2017 $10.0 million 1.99% May 10, 2021 Interest Rate Swap July 25, 2018 $20.0 million 3.18% July 25, 2023 The following table summarizes the fair value and presentation in the Condensed Consolidated Balance Sheets for derivatives related to our interest swap agreements as of March 28, 2020, September 28, 2019 ( March 28, September 28, 2020 2019 Deferred tax liabilities $ 481 $ 324 Other non-current liabilities (1,914 ) (1,293 ) Accumulated other comprehensive loss $ (1,433 ) $ (969 ) From time to time, we may not No March 28, 2020, September 28, 2019. ASC 820, Fair Value Measurements and Disclosures 820” three ○ Level 1 ○ Level 2 ○ Level 3 no The following financial liabilities are measured at fair value on a recurring basis (in thousands): Fair Value Measurements Using Quoted Prices in Significant Other Significant Active Markets for Observable Unobservable Identical Assets Inputs Inputs Period Ended Total (Level 1) (Level 2) (Level 3) Interest Rate Swaps March 28, 2020 $ (1,914 ) — $ (1,914 ) — September 28, 2019 $ (1,293 ) — $ (1,293 ) — Contingent Consideration March 28, 2020 $ (5,580 ) — — $ (5,580 ) September 28, 2019 $ (9,094 ) — — $ (9,094 ) The fair value of the interest rate swap agreements was derived from a discounted cash flow analysis based on the terms of the contract and the forward interest rate curves adjusted for our credit risk, which fall in Level 2 March 28, 2020 September 28, 2019, 2 The DTG2Go April 1, 2018, September 29, 2018, 2019, 2020, 2021 2022. September 28, 2019, $8.9 six March 28, 2020, $2.5 2019 March 28, 2020, $5.6 $0.8 September 28, 2019, In August 2013, 2019 2019 March 28, 2020, 2019 not $0.2 September 28, 2019, March 28, 2020, no |
Note N - Legal Proceedings
Note N - Legal Proceedings | 6 Months Ended |
Mar. 28, 2020 | |
Notes to Financial Statements | |
Legal Matters and Contingencies [Text Block] | Note N—Legal Proceedings At times we are party to various legal claims, actions and complaints. We believe that, as a result of legal defenses, insurance arrangements, and indemnification provisions with parties believed to be financially capable, such actions should not |
Note O - Repurchase of Common S
Note O - Repurchase of Common Stock | 6 Months Ended |
Mar. 28, 2020 | |
Notes to Financial Statements | |
Treasury Stock [Text Block] | Note O—Repurchase of Common Stock As of September 28, 2019, $60.0 Through March 28, 2020 3,598,933 $52.5 10b 18. March 28, 2020 $7.5 not The following table summarizes the purchases of our common stock for the quarter ended March 28, 2020: Period Total Number of Shares Purchased Average Price Paid per Share Total Number of Shares Purchased as Part of Publicly Announced Plans Dollar Value of Shares that May Yet Be Purchased Under the Plans December 29, 2019 to February 1, 2020 — — — $9.5 million February 2, 2020 to February 29, 2020 53,761 $ 22.21 53,761 8.3 million March 1, 2020 to March 28, 2020 46,210 18.08 46,210 7.5 million Total 99,971 $ 20.30 99,971 $7.5 million |
Note P - Goodwill and Intangibl
Note P - Goodwill and Intangible Assets | 6 Months Ended |
Mar. 28, 2020 | |
Notes to Financial Statements | |
Goodwill and Intangible Assets Disclosure [Text Block] | Note P—Goodwill and Intangible Assets Components of intangible assets consist of the following (in thousands): March 28, 2020 September 28, 2019 Cost Accumulated Amortization Net Value Cost Accumulated Amortization Net Value Economic Life Goodwill $ 37,897 $ — $ 37,897 $ 37,897 $ — $ 37,897 N/A Intangibles: Tradename/trademarks $ 16,090 $ (3,549 ) $ 12,541 $ 16,090 $ (3,278 ) $ 12,812 20 – 30 yrs Customer relationships 7,400 (1,363 ) 6,037 7,400 (993 ) 6,407 8 – 10 yrs Technology 1,720 (1,349 ) 371 1,720 (1,289 ) 431 10 yrs License agreements 2,100 (682 ) 1,418 2,100 (630 ) 1,470 15 – 30 yrs Non-compete agreements 1,657 (1,290 ) 367 1,657 (1,170 ) 487 4 – 8.5 yrs Total intangibles $ 28,967 $ (8,233 ) $ 20,734 $ 28,967 $ (7,360 ) $ 21,607 Goodwill was recorded in conjunction with our acquisitions of Salt Life and DTG2Go $0.6 2011. March 28, 2020, DTG2Go $19.9 $18.0 first third may not As of March 28, 2020, 350 , Intangibles - Goodwill and Other not DTG2Go March 28, 2020. 2019 June 2019 10 Critical Accounting Policies Prior to the COVID- 19 DTG2Go 2020 19 March March 28, 2020, 20% April, DTG2Go 2020 March April. April 2020, March 2020 December 2019 90% DTG2Go 19 DTG2Go not DTG2Go Although we are aggressively managing our response to the recent COVID- 19 DTG2Go 2020 2020 no not may may Amortization expense for intangible assets was $0.4 $0.5 three March 28, 2020 March 30, 2019 $0.9 $1.0 six March 28, 2020, March 30, 2019, $1.7 2020, $1.6 2021 2022, $1.5 2023, $1.4 2024. |
Note Q - Subsequent Events
Note Q - Subsequent Events | 6 Months Ended |
Mar. 28, 2020 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | Note Q—Subsequent Events On April 27, 2020, DTG2Go, October 3, 2020, 12 not 1.1 1.0. 30 August 1, 2020, ( August 1, 2020, ( October 4, 2020; ( November 19, 2019, ( 1.0%, October 3, 2020. We expect the Fifth Amendment will enhance our borrowing base and allow us to access more of our availability under the Amended Credit Agreement while easing the financial covenant restrictions for the remainder of fiscal 2020. See Part II, Item 5. |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 6 Months Ended |
Mar. 28, 2020 | |
Accounting Policies [Abstract] | |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Adopted Standards In August 2017, No. 2017 12, Derivatives and Hedging (Topic 815 2017 12" 2017 12 2017 12 no 2017 12 September 29, 2019. 2017 12 not In January 2017, 2017 04, Intangibles - Goodwill and other (Topic 350 2017 04" 2017 04 2 2, 2017 04, not 2017 04 zero 2 zero 2017 04 September 29, 2019. 2017 04 not In February 2016, No. 2016 02, Leases 2016 02” 2016 02, 842, Leases 842” 842 September 29, 2019. not September 29, 2019, $44.6 $36.1 $8.5 $0.8 $43.8 no Standards Not In August 2018, No. 2018 15, Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract 2018 15” 2018 15 December 15, 2019, 2018 15 October 4, 2020 2021 2018 15 |
Note D - Revenue Recognition (T
Note D - Revenue Recognition (Tables) | 6 Months Ended |
Mar. 28, 2020 | |
Notes Tables | |
Disaggregation of Revenue [Table Text Block] | Three Months Ended March 28, 2020 March 30, 2019 $ % $ % Retail $ 962 1 % $ 872 1 % Direct-to-consumer ecommerce 1,084 1 % 1,019 1 % Wholesale 94,614 98 % 100,947 98 % Net Sales $ 96,660 100 % $ 102,838 100 % Six Months Ended March 28, 2020 March 30, 2019 $ % $ % Retail $ 2,195 1 % $ 1,884 1 % Direct-to-consumer ecommerce 2,767 1 % 2,601 1 % Wholesale 187,588 98 % 200,028 98 % Net sales $ 192,550 100 % $ 204,513 100 % Second Quarter Fiscal Year 2020 Net Sales Retail ecommerce Wholesale Delta Group $ 84,191 0.2 % 0.2 % 99.6 % Salt Life Group 12,469 6.4 % 7.1 % 86.5 % Total $ 96,660 Second Quarter Fiscal Year 2019 Net Sales Retail ecommerce Wholesale Delta Group $ 89,526 0.3 % 0.3 % 99.4 % Salt Life Group 13,312 4.4 % 5.7 % 89.9 % Total $ 102,838 Year To Date Fiscal Year 2020 Net Sales Retail ecommerce Wholesale Delta Group $ 173,143 0.3 % 0.3 % 99.4 % Salt Life Group 19,407 8.9 % 11.9 % 79.2 % Total $ 192,550 Year To Date Fiscal Year 2019 Net Sales Retail ecommerce Wholesale Delta Group $ 183,916 0.3 % 0.3 % 99.4 % Salt Life Group 20,597 6.1 % 9.7 % 84.2 % Total $ 204,513 |
Note E - Inventories (Tables)
Note E - Inventories (Tables) | 6 Months Ended |
Mar. 28, 2020 | |
Notes Tables | |
Schedule of Inventory, Current [Table Text Block] | March 28, 2020 September 28, 2019 Raw materials $ 13,461 $ 12,022 Work in process 16,568 17,765 Finished goods 167,304 149,320 $ 197,333 $ 179,107 |
Note F - Debt (Tables)
Note F - Debt (Tables) | 6 Months Ended |
Mar. 28, 2020 | |
Notes Tables | |
Schedule of Long-term Debt Instruments [Table Text Block] | March 28, 2020 Revolving credit facility established March 2011, weighted average interest at 6.6% expiring August 2025 $ 6,267 Term loan established November 2014, interest at 6.0%, payable monthly with a six-year term 500 Term loan established June 2016, interest at 6.0%, payable monthly with a six-year term 631 Term loan established October 2017, interest at 6.0%, payable monthly with a six-year term 1,420 |
Note G - Leases (Tables)
Note G - Leases (Tables) | 6 Months Ended |
Mar. 28, 2020 | |
Notes Tables | |
Lease, Liability, Maturity [Table Text Block] | Operating Finance Leases Leases 2020 $ 5,509 $ 3,989 2021 9,488 6,684 2022 8,116 4,475 2023 6,119 3,464 2024 4,675 1,965 Thereafter 17,635 295 Undiscounted fixed lease payments $ 51,542 $ 20,872 Discount due to interest (7,406 ) (1,668) Total lease liabilities $ 44,136 $ 19,204 Less current maturities (8,525 ) (6,965 ) Lease liabilities, excluding current maturities $ 35,611 $ 12,239 |
Lease, Cost [Table Text Block] | Operating lease fixed expense $ 5,513 Operating lease variable cost expense 879 Finance lease amortization of ROU assets expense 1,630 Finance lease interest expense 486 Total lease expense $ 8,508 |
Note J - Purchase Contracts (Ta
Note J - Purchase Contracts (Tables) | 6 Months Ended |
Mar. 28, 2020 | |
Notes Tables | |
Long-term Purchase Commitment [Table Text Block] | Yarn $ 32,073 Finished fabric 2,276 Finished products 7,166 $ 41,515 |
Note K - Business Segments (Tab
Note K - Business Segments (Tables) | 6 Months Ended |
Mar. 28, 2020 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Three Months Ended Six Months Ended March 28, 2020 March 30, 2019 March 28, 2020 March 30, 2019 Segment net sales: Delta Group $ 84,191 $ 89,526 $ 173,143 $ 183,916 Salt Life Group 12,469 13,312 19,407 20,597 Total net sales $ 96,660 $ 102,838 $ 192,550 $ 204,513 Segment operating income: Delta Group (1) $ 5,066 $ 3,367 $ 12,334 $ 6,144 Salt Life Group 1,473 2,733 804 3,012 Total segment operating income $ 6,539 $ 6,100 $ 13,138 $ 9,156 |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Table Text Block] | Three Months Ended Six Months Ended March 28, 2020 March 30, 2019 March 28, 2020 March 30, 2019 Segment operating income $ 6,539 $ 6,100 $ 13,138 $ 9,156 Unallocated corporate expenses 2,985 3,405 6,947 6,422 Unallocated interest expense 1,808 1,985 3,610 3,750 Consolidated earnings (loss) before provision for income taxes $ 1,746 $ 710 $ 2,581 $ (1,016 ) |
Note M - Derivatives and Fair_2
Note M - Derivatives and Fair Value Measurements (Tables) | 6 Months Ended |
Mar. 28, 2020 | |
Notes Tables | |
Schedule of Notional Amounts of Outstanding Derivative Positions [Table Text Block] | Notional Effective Date Amount Fixed LIBOR Rate Maturity Date Interest Rate Swap July 19, 2017 $10.0 million 1.99% May 10, 2021 Interest Rate Swap July 25, 2018 $20.0 million 3.18% July 25, 2023 |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block] | March 28, September 28, 2020 2019 Deferred tax liabilities $ 481 $ 324 Other non-current liabilities (1,914 ) (1,293 ) Accumulated other comprehensive loss $ (1,433 ) $ (969 ) |
Fair Value, Liabilities Measured on Recurring Basis [Table Text Block] | Fair Value Measurements Using Quoted Prices in Significant Other Significant Active Markets for Observable Unobservable Identical Assets Inputs Inputs Period Ended Total (Level 1) (Level 2) (Level 3) Interest Rate Swaps March 28, 2020 $ (1,914 ) — $ (1,914 ) — September 28, 2019 $ (1,293 ) — $ (1,293 ) — Contingent Consideration March 28, 2020 $ (5,580 ) — — $ (5,580 ) September 28, 2019 $ (9,094 ) — — $ (9,094 ) |
Note O - Repurchase of Common_2
Note O - Repurchase of Common Stock (Tables) | 6 Months Ended |
Mar. 28, 2020 | |
Notes Tables | |
Class of Treasury Stock [Table Text Block] | Period Total Number of Shares Purchased Average Price Paid per Share Total Number of Shares Purchased as Part of Publicly Announced Plans Dollar Value of Shares that May Yet Be Purchased Under the Plans December 29, 2019 to February 1, 2020 — — — $9.5 million February 2, 2020 to February 29, 2020 53,761 $ 22.21 53,761 8.3 million March 1, 2020 to March 28, 2020 46,210 18.08 46,210 7.5 million Total 99,971 $ 20.30 99,971 $7.5 million |
Note P - Goodwill and Intangi_2
Note P - Goodwill and Intangible Assets (Tables) | 6 Months Ended |
Mar. 28, 2020 | |
Notes Tables | |
Schedule of Intangible Assets and Goodwill [Table Text Block] | March 28, 2020 September 28, 2019 Cost Accumulated Amortization Net Value Cost Accumulated Amortization Net Value Economic Life Goodwill $ 37,897 $ — $ 37,897 $ 37,897 $ — $ 37,897 N/A Intangibles: Tradename/trademarks $ 16,090 $ (3,549 ) $ 12,541 $ 16,090 $ (3,278 ) $ 12,812 20 – 30 yrs Customer relationships 7,400 (1,363 ) 6,037 7,400 (993 ) 6,407 8 – 10 yrs Technology 1,720 (1,349 ) 371 1,720 (1,289 ) 431 10 yrs License agreements 2,100 (682 ) 1,418 2,100 (630 ) 1,470 15 – 30 yrs Non-compete agreements 1,657 (1,290 ) 367 1,657 (1,170 ) 487 4 – 8.5 yrs Total intangibles $ 28,967 $ (8,233 ) $ 20,734 $ 28,967 $ (7,360 ) $ 21,607 |
Note C - New Accounting Stand_2
Note C - New Accounting Standards (Details Textual) - USD ($) $ in Thousands | Mar. 28, 2020 | Sep. 29, 2019 | Sep. 28, 2019 |
Operating Lease, Liability, Total | $ 44,136 | ||
Operating Lease, Liability, Noncurrent | 35,611 | ||
Operating Lease, Liability, Current | 8,525 | ||
Operating Lease, Right-of-Use Asset | $ 43,226 | ||
Accounting Standards Update 2016-02 [Member] | |||
Operating Lease, Liability, Total | $ 44,600 | ||
Operating Lease, Liability, Noncurrent | 36,100 | ||
Operating Lease, Liability, Current | 8,500 | ||
Deferred Rent Credit | (800) | ||
Operating Lease, Right-of-Use Asset | $ 43,800 |
Note D - Revenue Recognition (D
Note D - Revenue Recognition (Details Textual) - USD ($) $ in Millions | Mar. 28, 2020 | Sep. 28, 2019 |
Contract with Customer, Liability, Total | $ 1 | $ 1 |
Note D - Revenue Recognition -
Note D - Revenue Recognition - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 28, 2020 | Mar. 30, 2019 | Mar. 28, 2020 | Mar. 30, 2019 | |
Net sales | $ 96,660 | $ 102,838 | $ 192,550 | $ 204,513 |
Sales in percentage | 100.00% | 100.00% | 100.00% | 100.00% |
Delta Group [Member] | ||||
Net sales | $ 84,191 | $ 89,526 | $ 173,143 | $ 183,916 |
Salt Life Group [Member] | ||||
Net sales | 12,469 | 13,312 | 19,407 | 20,597 |
Retail [Member] | ||||
Net sales | $ 962 | $ 872 | $ 2,195 | $ 1,884 |
Sales in percentage | 1.00% | 1.00% | 1.00% | 1.00% |
Retail [Member] | Delta Group [Member] | ||||
Sales in percentage | 0.20% | 0.30% | 0.30% | 0.30% |
Retail [Member] | Salt Life Group [Member] | ||||
Sales in percentage | 6.40% | 4.40% | 8.90% | 6.10% |
Ecommerce [Member] | ||||
Net sales | $ 1,084 | $ 1,019 | $ 2,767 | $ 2,601 |
Sales in percentage | 1.00% | 1.00% | 1.00% | 1.00% |
Ecommerce [Member] | Delta Group [Member] | ||||
Sales in percentage | 0.20% | 0.30% | 0.30% | 0.30% |
Ecommerce [Member] | Salt Life Group [Member] | ||||
Sales in percentage | 7.10% | 5.70% | 11.90% | 9.70% |
Wholesale [Member] | ||||
Net sales | $ 94,614 | $ 100,947 | $ 187,588 | $ 200,028 |
Sales in percentage | 98.00% | 98.00% | 98.00% | 98.00% |
Wholesale [Member] | Delta Group [Member] | ||||
Sales in percentage | 99.60% | 99.40% | 99.40% | 99.40% |
Wholesale [Member] | Salt Life Group [Member] | ||||
Sales in percentage | 86.50% | 89.90% | 79.20% | 84.20% |
Note E - Inventories (Details T
Note E - Inventories (Details Textual) - USD ($) $ in Millions | Mar. 28, 2020 | Sep. 28, 2019 |
Inventory Valuation Reserves, Ending Balance | $ 9.4 | $ 10 |
Note E - Inventories - Inventor
Note E - Inventories - Inventories (Details) - USD ($) $ in Thousands | Mar. 28, 2020 | Sep. 28, 2019 |
Raw materials | $ 13,461 | $ 12,022 |
Work in process | 16,568 | 17,765 |
Finished goods | 167,304 | 149,320 |
Inventory, Net, Total | $ 197,333 | $ 179,107 |
Note F - Debt (Details Textual)
Note F - Debt (Details Textual) $ in Millions | Nov. 19, 2019USD ($) | Mar. 31, 2011 | Mar. 31, 2011 | Mar. 28, 2020USD ($) | Sep. 28, 2019USD ($) | Jan. 02, 2019 | Oct. 08, 2018USD ($) |
Promissory Note [Member] | |||||||
Debt Instrument, Face Amount | $ 7 | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 6.00% | ||||||
Debt Instrument Discounted Value | $ 4.1 | ||||||
Amended Credit Agreement [Member] | Revolving Credit Facility [Member] | |||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 170 | $ 145 | |||||
Debt Instrument, Increase (Decrease) in FILO Borrowing Component | (0.25%) | ||||||
Debt Instrument, Increase (Decrease) in Fair Market of Eligible Intellectual Property | 25.00% | ||||||
Debt Instrument, Fixed Coverage Charge Ratio, Exclusion of Capital Expenditures | $ 10 | ||||||
Line Of Credit Facility Maximum Capacity For Capital Leases | 25 | ||||||
Line of Credit Facility Including Additional Borrowing Capacity Maximum | $ 200 | ||||||
Long-term Line of Credit, Total | $ 135.7 | ||||||
Line of Credit Facility, Interest Rate During Period | 3.20% | ||||||
Line of Credit Facility, Remaining Borrowing Capacity | $ 30.5 | ||||||
Amended Credit Agreement [Member] | Letter of Credit [Member] | |||||||
Debt Covenant Fixed Charge Coverage Ratio Term (Month) | 1 year | ||||||
Fixed Charge Coverage Ratio | 1.1 | ||||||
Retained Earnings Amount Available For Dividends And Stock Repurchases | $ 15.2 | $ 16.1 | |||||
Debt with Banco Ficohsa [Member] | Revolving Credit Facility [Member] | |||||||
Debt Instrument Periodic Payment Term (Month) | 180 days | ||||||
Debt with Banco Ficohsa [Member] | Revolving Credit Facility [Member] | Minimum [Member] | |||||||
Debt Instrument, Term (Month) | 1 year | ||||||
Debt with Banco Ficohsa [Member] | Revolving Credit Facility [Member] | Maximum [Member] | |||||||
Debt Instrument, Term (Month) | 1 year 180 days |
Note F - Debt - Long-term Debt
Note F - Debt - Long-term Debt (Details) $ in Thousands | Mar. 28, 2020USD ($) |
Line of Credit [Member] | Revolving Credit Facility [Member] | |
Long-term Debt | $ 6,267 |
Term loan established November, 2014 [Member] | |
Long-term Debt | 500 |
Term loan established June, 2016 [Member] | |
Long-term Debt | 631 |
Term Loan Established October, 2017 [Member] | |
Long-term Debt | $ 1,420 |
Note F - Debt - Long-term Deb_2
Note F - Debt - Long-term Debt (Details) (Parentheticals) | 6 Months Ended |
Mar. 28, 2020 | |
Term loan established November, 2014 [Member] | |
Long term debt, Interest rate | 6.00% |
Long-term debt, term (Year) | 6 years |
Term loan established June, 2016 [Member] | |
Long term debt, Interest rate | 6.00% |
Long-term debt, term (Year) | 6 years |
Term Loan Established October, 2017 [Member] | |
Long term debt, Interest rate | 6.00% |
Long-term debt, term (Year) | 6 years |
Revolving Credit Facility [Member] | Line of Credit [Member] | Weighted Average [Member] | |
Long term debt, Interest rate | 6.60% |
Note G - Leases (Details Textua
Note G - Leases (Details Textual) - USD ($) $ in Thousands | 6 Months Ended | ||
Mar. 28, 2020 | Mar. 30, 2019 | Sep. 28, 2019 | |
Operating Lease, Weighted Average Discount Rate, Percent | 4.20% | ||
Finance Lease, Weighted Average Discount Rate, Percent | 5.10% | ||
Lessee, Operating Lease, Term of Contract (Year) | 10 years | ||
Operating Lease, Payments | $ 5,400 | ||
Operating Lease, Right-of-Use Asset | 43,226 | ||
Finance Lease, Right-of-Use Asset, after Accumulated Amortization, Total | $ 25,300 | ||
Operating Lease, Weighted Average Remaining Lease Term (Year) | 7 years | ||
Finance Lease, Weighted Average Remaining Lease Term (Year) | 4 years | ||
Operating Leases, Rent Expense, Net, Total | $ 5,200 | ||
Finance Lease, Interest Payment on Liability | $ 500 | ||
Finance Lease, Principal Payments | 3,200 | ||
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability | 4,100 | ||
Right-of-Use Asset Obtained in Exchange for Finance Lease Liability | 4,400 | 5,700 | |
Ceiba Textiles Manufacturing Facility Leased With Honduran Company [Member] | |||
Operating Lease, Payments | $ 900 | ||
Honduran Equity Method Investment [Member] | |||
Operating Lease, Payments | $ 900 | ||
Honduran Equity Method Investment [Member] | |||
Equity Method Investment, Ownership Percentage | 31.00% | ||
Minimum [Member] | |||
Annual Operating Lease Payments | $ 1,000 | ||
Maximum [Member] | |||
Annual Operating Lease Payments | $ 1,300 |
Note G - Leases - Future Paymen
Note G - Leases - Future Payments Due for Lease Liabilities (Details) - USD ($) $ in Thousands | Mar. 28, 2020 | Sep. 28, 2019 |
2020, operating leases | $ 5,509 | |
2020, finance leases | 3,989 | |
2021, operating leases | 9,488 | |
2021, finance leases | 6,684 | |
2022, operating leases | 8,116 | |
2022, finance leases | 4,475 | |
2023, operating leases | 6,119 | |
2023, finance leases | 3,464 | |
2024, operating leases | 4,675 | |
2024, finance leases | 1,965 | |
Thereafter, operating leases | 17,635 | |
Thereafter, finance leases | 295 | |
Undiscounted fixed lease payments, operating leases | 51,542 | |
Undiscounted fixed lease payments, finance leases | 20,872 | |
Discount due to interest, operating leases | (7,406) | |
Discount due to interest, finance leases | (1,668) | |
Total lease liabilities, operating leases | 44,136 | |
Total lease liabilities, finance leases | 19,204 | |
Less current maturities, operating leases | (8,525) | |
Less current maturities, finance leases | (6,965) | (6,434) |
Long-term operating leases, less current maturities | 35,611 | |
Long-term finance leases, less current maturities | $ 12,239 | $ 12,836 |
Note G - Leases - Total Lease C
Note G - Leases - Total Lease Cost (Details) $ in Thousands | 6 Months Ended |
Mar. 28, 2020USD ($) | |
Operating lease fixed expense | $ 5,513 |
Operating lease variable cost expense | 879 |
Finance lease amortization of ROU assets expense | 1,630 |
Finance lease interest expense | 486 |
Total lease expense | $ 8,508 |
Note H - Selling, General and_2
Note H - Selling, General and Administrative Expense (Details Textual) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 28, 2020 | Mar. 30, 2019 | Mar. 28, 2020 | Mar. 30, 2019 | |
Production and Distribution Costs | $ 4.8 | $ 4.2 | $ 9.7 | $ 8.4 |
Note I - Stock-based Compensa_2
Note I - Stock-based Compensation (Details Textual) - USD ($) $ in Millions | Feb. 05, 2020 | Sep. 29, 2019 | Mar. 28, 2020 | Mar. 30, 2019 | Mar. 28, 2020 | Mar. 30, 2019 | Feb. 06, 2020 |
Share-based Payment Arrangement, Expense | $ 0.5 | $ 0.6 | $ 1.4 | $ 1.3 | |||
The 2020 Stock Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in shares) | 449,714 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | 0 | ||||||
The 2010 Stock Plan [Member] | |||||||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total | $ 4 | $ 4 | |||||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition (Year) | 2 years 219 days | ||||||
The 2010 Stock Plan [Member] | Restricted Stock Units (RSUs) [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | 74,000 | 60,000 | |||||
The 2010 Stock Plan [Member] | Performance Shares [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | 60,000 |
Note J - Purchase Contracts - M
Note J - Purchase Contracts - Minimum Payments Under Contracts (Details) $ in Thousands | Mar. 28, 2020USD ($) |
Outstanding minimum payments | $ 41,515 |
Yarn [Member] | |
Outstanding minimum payments | 32,073 |
Finished Fabric [Member] | |
Outstanding minimum payments | 2,276 |
Finished Products [Member] | |
Outstanding minimum payments | $ 7,166 |
Note K - Business Segments (Det
Note K - Business Segments (Details Textual) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Mar. 28, 2020USD ($) | Mar. 30, 2019USD ($) | Dec. 29, 2018USD ($) | Mar. 28, 2020USD ($) | Mar. 30, 2019USD ($) | Sep. 28, 2019USD ($) | |
Number of Operating Segments | 2 | |||||
Litigation Settlement, Expense | $ 76,079 | $ 83,930 | $ 152,075 | $ 167,036 | ||
Assets, Total | 449,131 | 449,131 | $ 377,988 | |||
Delta Group [Member] | ||||||
Litigation Settlement, Expense | 1,900 | |||||
Litigation Settlement, Expense | $ 2,500 | |||||
Increase (Decrease} in Assets | 48,000 | |||||
Assets, Total | 363,700 | 363,700 | ||||
Salt Life Group [Member] | ||||||
Increase (Decrease} in Assets | 13,400 | |||||
Assets, Total | $ 71,000 | $ 71,000 |
Note K - Business Segments - Sc
Note K - Business Segments - Schedule of Segment Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Mar. 28, 2020 | Mar. 30, 2019 | Mar. 28, 2020 | Mar. 30, 2019 | ||
Net sales | $ 96,660 | $ 102,838 | $ 192,550 | $ 204,513 | |
Segment operating income | 3,554 | 2,695 | 6,191 | 2,734 | |
Delta Group [Member] | |||||
Net sales | 84,191 | 89,526 | 173,143 | 183,916 | |
Salt Life Group [Member] | |||||
Net sales | 12,469 | 13,312 | 19,407 | 20,597 | |
Operating Segments [Member] | |||||
Net sales | 96,660 | 102,838 | 192,550 | 204,513 | |
Segment operating income | 6,539 | 6,100 | 13,138 | 9,156 | |
Operating Segments [Member] | Delta Group [Member] | |||||
Net sales | 84,191 | 89,526 | 173,143 | 183,916 | |
Segment operating income | [1] | 5,066 | 3,367 | 12,334 | 6,144 |
Operating Segments [Member] | Salt Life Group [Member] | |||||
Net sales | 13,312 | 19,407 | 20,597 | ||
Segment operating income | $ 1,473 | $ 2,733 | $ 804 | $ 3,012 | |
[1] | In the quarter ended March 28, 2020, the Delta Group operating income included $1.9 million of cost of goods sold expense from plant curtailments caused by government mandated country closures in El Salvador and Honduras in March 2020. In the quarter ended December 29, 2018, the Delta Group operating income included $2.5 million of expense incurred in connection with the settlement of litigation related to the 2016 bankruptcy filing of a customer. |
Note K - Business Segments - Se
Note K - Business Segments - Segment Operating Income to the Consolidated Income Before Provision for Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 28, 2020 | Mar. 30, 2019 | Mar. 28, 2020 | Mar. 30, 2019 | |
Segment operating income | $ 3,554 | $ 2,695 | $ 6,191 | $ 2,734 |
Unallocated corporate expenses | 17,941 | 17,056 | 36,147 | 33,841 |
Unallocated interest expense | 1,808 | 1,985 | 3,610 | 3,750 |
Consolidated earnings (loss) before provision for income taxes | 1,746 | 710 | 2,581 | (1,016) |
Operating Segments [Member] | ||||
Segment operating income | 6,539 | 6,100 | 13,138 | 9,156 |
Corporate, Non-Segment [Member] | ||||
Unallocated corporate expenses | 2,985 | 3,405 | 6,947 | 6,422 |
Unallocated interest expense | $ 1,808 | $ 1,985 | $ 3,610 | $ 3,750 |
Note L - Income Taxes (Details
Note L - Income Taxes (Details Textual) | 6 Months Ended | 12 Months Ended | |
Mar. 28, 2020 | Mar. 30, 2019 | Sep. 28, 2019 | |
Effective Income Tax Rate Reconciliation, Percent, Total | 20.30% | 74.60% | 5.50% |
Note M - Derivatives and Fair_3
Note M - Derivatives and Fair Value Measurements (Details Textual) - USD ($) $ in Thousands | 6 Months Ended | ||
Mar. 28, 2020 | Mar. 30, 2019 | Sep. 28, 2019 | |
Loss Contingency Accrual, Payments | $ 2,500 | $ 564 | |
Teeshirt Ink, Inc [Member] | |||
Business Combination, Contingent Consideration, Liability, Total | 5,600 | $ 8,900 | |
Loss Contingency Accrual, Payments | 2,500 | ||
Business Combination, Contingent Consideration Arrangements, Change in Amount of Contingent Consideration, Liability | (800) | ||
Salt Life Acquisition [Member] | |||
Business Combination, Contingent Consideration, Liability, Total | $ 0 | $ 200 |
Note M - Derivatives and Fair_4
Note M - Derivatives and Fair Value Measurements - Outstanding Instruments (Details) $ in Millions | Mar. 28, 2020USD ($) |
Interest Rate Swap Maturing May 10, 2021 [Member] | |
National amount | $ 10 |
Fixed LIBOR Rate | 1.99% |
Interest Rate Swap Maturing July 25, 2023 [Member] | |
National amount | $ 20 |
Fixed LIBOR Rate | 3.18% |
Note M - Derivatives and Fair_5
Note M - Derivatives and Fair Value Measurements - Fair Value of Derivative Instruments (Details) - USD ($) $ in Thousands | Mar. 28, 2020 | Sep. 28, 2019 |
Deferred Tax Liabilities [Member] | ||
Derivative assets (liabilities) | $ 481 | $ 324 |
Other Noncurrent Liabilities [Member] | ||
Derivative assets (liabilities) | (1,914) | (1,293) |
Accumulated Other Comprehensive Income (Loss) [Member] | ||
Derivative assets (liabilities) | $ (1,433) | $ (969) |
Note M - Derivatives and Fair_6
Note M - Derivatives and Fair Value Measurements - Financial Assets (Liabilities) Measured at Fair Value (Details) - Fair Value, Recurring [Member] - USD ($) $ in Thousands | Mar. 28, 2020 | Sep. 28, 2019 |
Interest Rate Swap [Member] | ||
Derivative Liabilities | $ (1,914) | $ (1,293) |
Interest Rate Swap [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Derivative Liabilities | ||
Interest Rate Swap [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Derivative Liabilities | (1,914) | (1,293) |
Interest Rate Swap [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Derivative Liabilities | ||
Contingent Consideration [Member] | ||
Derivative Liabilities | (5,580) | (9,094) |
Contingent Consideration [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Derivative Liabilities | ||
Contingent Consideration [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Derivative Liabilities | ||
Contingent Consideration [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Derivative Liabilities | $ (5,580) | $ (9,094) |
Note O - Repurchase of Common_3
Note O - Repurchase of Common Stock (Details Textual) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||||
Mar. 28, 2020 | Feb. 29, 2020 | Feb. 01, 2020 | Mar. 28, 2020 | Mar. 30, 2019 | Dec. 29, 2018 | Mar. 28, 2020 | Sep. 28, 2019 | |
Stock Repurchase Program, Authorized Amount | $ 60,000 | |||||||
Treasury Stock, Shares, Acquired (in shares) | 46,210 | 53,761 | 99,971 | 3,598,933 | ||||
Treasury Stock, Value, Acquired, Cost Method | $ 2,029 | $ 718 | $ 1,711 | $ 52,500 | ||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 7,500 | $ 8,300 | $ 9,500 | $ 7,500 | $ 7,500 |
Note O - Repurchase of Common_4
Note O - Repurchase of Common Stock - Purchases of Common Stock (Details) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||
Mar. 28, 2020 | Feb. 29, 2020 | Feb. 01, 2020 | Mar. 28, 2020 | Mar. 28, 2020 | |
Treasury Stock, Shares, Acquired (in shares) | 46,210 | 53,761 | 99,971 | 3,598,933 | |
Average price paid per share (in dollars per share) | $ 18.08 | $ 22.21 | $ 20.30 | ||
Total number of shares purchased as part of publicly announced plans (in shares) | 46,210 | 53,761 | 99,971 | 3,598,933 | |
Dollar value of shares that may yet be purchased under the plans | $ 7.5 | $ 8.3 | $ 9.5 | $ 7.5 | $ 7.5 |
Note P - Goodwill and Intangi_3
Note P - Goodwill and Intangible Assets (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Mar. 28, 2020 | Mar. 30, 2019 | Mar. 28, 2020 | Mar. 30, 2019 | Jul. 02, 2011 | Sep. 28, 2019 | |
Goodwill, Acquired During Period | $ 600 | |||||
Goodwill, Ending Balance | $ 37,897 | $ 37,897 | $ 37,897 | |||
Amortization of Intangible Assets, Total | 400 | $ 500 | 900 | $ 1,000 | ||
Finite-Lived Intangible Assets, Amortization Expense, Remainder of Fiscal Year | 1,700 | 1,700 | ||||
Finite-Lived Intangible Assets, Amortization Expense, Year Two | 1,600 | 1,600 | ||||
Finite-Lived Intangible Assets, Amortization Expense, Year Three | 1,600 | 1,600 | ||||
Finite-Lived Intangible Assets, Amortization Expense, Year Four | 1,500 | 1,500 | ||||
Finite-Lived Intangible Assets, Amortization Expense, Year Five | 1,400 | 1,400 | ||||
Salt Life Group [Member] | ||||||
Goodwill, Ending Balance | $ 19,900 | 19,900 | ||||
Ecommerce Sales Increase (Decrease), Percent | 20.00% | |||||
Delta Group [Member] | ||||||
Goodwill, Ending Balance | $ 18,000 | $ 18,000 | ||||
Delta Group [Member] | Revenue Benchmark [Member] | Revenue From Ecommerce Sales [Member] | ||||||
Concentration Risk, Percentage | 90.00% |
Note P - Goodwill and Intangi_4
Note P - Goodwill and Intangible Assets - Goodwill and Components of Intangible Assets (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Mar. 28, 2020 | Sep. 28, 2019 | |
Goodwill, cost | $ 37,897 | $ 37,897 |
Intangibles, Cost | 28,967 | 28,967 |
Intangibles, Accumulated Amortization | (8,233) | (7,360) |
Intangibles, Net Value | $ 20,734 | 21,607 |
Economic Life (Year) | ||
Minimum [Member] | ||
Economic Life (Year) | ||
Maximum [Member] | ||
Economic Life (Year) | ||
Trademarks and Trade Names [Member] | ||
Intangibles, Cost | $ 16,090 | 16,090 |
Intangibles, Accumulated Amortization | (3,549) | (3,278) |
Intangibles, Net Value | $ 12,541 | 12,812 |
Trademarks and Trade Names [Member] | Minimum [Member] | ||
Economic Life (Year) | 20 years | |
Trademarks and Trade Names [Member] | Maximum [Member] | ||
Economic Life (Year) | 30 years | |
Customer Relationships [Member] | ||
Intangibles, Cost | $ 7,400 | 7,400 |
Intangibles, Accumulated Amortization | (1,363) | (993) |
Intangibles, Net Value | $ 6,037 | 6,407 |
Customer Relationships [Member] | Minimum [Member] | ||
Economic Life (Year) | 8 years | |
Customer Relationships [Member] | Maximum [Member] | ||
Economic Life (Year) | 10 years | |
Technology-Based Intangible Assets [Member] | ||
Intangibles, Cost | $ 1,720 | 1,720 |
Intangibles, Accumulated Amortization | (1,349) | (1,289) |
Intangibles, Net Value | $ 371 | 431 |
Economic Life (Year) | 10 years | |
Licensing Agreements [Member] | ||
Intangibles, Cost | $ 2,100 | 2,100 |
Intangibles, Accumulated Amortization | (682) | (630) |
Intangibles, Net Value | $ 1,418 | 1,470 |
Licensing Agreements [Member] | Minimum [Member] | ||
Economic Life (Year) | 15 years | |
Licensing Agreements [Member] | Maximum [Member] | ||
Economic Life (Year) | 30 years | |
Noncompete Agreements [Member] | ||
Intangibles, Cost | $ 1,657 | 1,657 |
Intangibles, Accumulated Amortization | (1,290) | (1,170) |
Intangibles, Net Value | $ 367 | $ 487 |
Noncompete Agreements [Member] | Minimum [Member] | ||
Economic Life (Year) | 4 years | |
Noncompete Agreements [Member] | Maximum [Member] | ||
Economic Life (Year) | 8 years 182 days |
Note Q - Subsequent Events (Det
Note Q - Subsequent Events (Details Textual) - Letter of Credit [Member] - Amended Credit Agreement [Member] | Apr. 27, 2020 | Mar. 28, 2020 |
Fixed Charge Coverage Ratio | 1.1 | |
Subsequent Event [Member] | ||
Debt Instrument, Basis Spread on Variable Rate | 1.00% | |
Minimum [Member] | Subsequent Event [Member] | ||
Fixed Charge Coverage Ratio | 1.1 |