Unifi, Inc. announced unaudited consolidated earnings results for the second quarter and six months ended December 25, 2016. For the quarter, the company announced net sales of $155,155,000 compared to $156,336,000 for the same period a year ago. Operating income was $9,038,000 compared to $8,629,000 for the same period a year ago. Income before income taxes was $6,278,000 compared to $8,282,000 for the same period a year ago. Net income attributable to the company was $4,591,000 compared to $6,464,000 for the same period a year ago. Diluted net income per share was $0.25 compared to $0.35 for the same period a year ago. EBITDA was $12,061,000 compared to $13,344,000 for the same period a year ago. Adjusted EBITDA was $14,468,000 compared to $14,362,000 for the same period a year ago. Net income reflects solid operating results offset by a $0.3 million decline in earnings for Parkdale America, LLC (PAL) and a $1.7 million loss on the sale of the investment in renewables. Adjusted net income was $6.3 million, which excludes the loss on the sale of the investment in renewables, was $0.6 million less than the prior fiscal year second quarter.  Adjusted EPS was $0.34 compared to $0.38 in the prior second quarter. Net debt was $106.7 million at December 25 compared to $106.4 million at June 26, 2016.

For the six months, the company announced net sales of $315,124,000 compared to $318,501,000 for the same period a year ago. Operating income was $21,612,000 compared to $18,316,000 for the same period a year ago. Income before income taxes was $19,146,000 compared to $20,008,000 for the same period a year ago. Net income attributable to the company was $13,994,000 compared to $14,489,000 for the same period a year ago. Diluted net income per share was $0.76 compared to $0.78 for the same period a year ago. Net cash provided by operating activities was $17,296,000 compared to $15,392,000 for the same period a year ago. Capital expenditures were $19,343,000 compared to $27,419,000 for the same period a year ago. EBITDA was $30,286,000 compared to $30,371,000 for the same period a year ago. Adjusted EBITDA was $32,379,000 compared to $29,424,000 for the same period a year ago. Adjusted net income and adjusted EPS, both excluding the loss from the sale of the investment in renewables, grew to $15.7 million and $0.87, respectively, for the first six months of fiscal 2017 compared to $14.9 million and $0.83, respectively, for the first six months of fiscal 2016. Foreign currency fluctuations improved net sales and gross profit in the International segment by $3.3 million and $400,000, respectively, compared to the prior fiscal year period.

The company provided earnings guidance for the full year of fiscal 2017. The company is revising its outlook for revenue, operating income and adjusted EBITDA for fiscal 2017 to be broadly in line with fiscal 2016. Anticipated capital project outlays for fiscal 2017 remain at around $40 million, and the company expects net debt at the end of fiscal 2017 to be in line with that at the end of fiscal 2016.