Solid Q1 for men’s apparel retailer

Big and tall men continued to spend in the first quarter, bucking slow apparel sales throughout the rest of the industry.



Destination XL Group Inc. posted revenue of $107.9 million in the quarter, up 3.3% from $104.4 million in the year-ago period. Total same-store sales rose 2%.



The company’s DXL superstore format continued to show strength. Sales per square foot for the DXL stores, on a rolling 12-month basis, were $179, compared with $168 for the prior-year quarter. Same-store sales for DXL rose 5.8%.



DXL’s net income totaled $214,000, versus a net loss of $(0.6) million in the prior-year quarter. The retailer continues to invest in new DXL stores and shutter Casual Male XL stores.



“Our first-quarter results demonstrate the continued strength of the DXL concept, which drove solid growth in sales and profitability even as persistent cooler weather affected much of the retail apparel industry,” said president and CEO David Levin. “Our DXL retail stores delivered a sales comp of 5.8% on top of 8.7% in the first quarter last year. These results prove, once again, that the DXL operating model delivers stable and consistent increases in both sales and profitability.



Despite a slow start in certain warm weather categories, Lean said the company remains upbeat in its 2016 outlook.



“We are confident in our merchandise assortments, and we expect sales growth to improve in the second quarter with the arrival of a consistent, warmer weather pattern, which will drive traffic to both our stores and website,” Levin said.



In 2016, DXL plans to open approximately 28 DXL stores and 3 DXL outlet stores, and close approximately 26 Casual Male XL stores and three Casual Male XL outlet stores.