Revenue increased 2% compared to the prior year period (increased 7% on a constant currency basis) and reflected continued momentum in Europe.
Direct-to-Consumer revenue increased 4% compared to the prior year period (increased 9% on a constant currency basis), inclusive of a 6% reduction from the exit of the Heritage Brands Retail business.
Directly operated digital commerce decreased 14% (decreased 9% on a constant currency basis) as compared to the exceptionally strong performance of 66% growth in the prior year period attributable, in part, to temporary store closures in the prior year period.
Gross Margin was 58.4% as compared to 59.1% in the prior year period, as more full price selling was more than offset by higher freight costs, including an increase in air freight to mitigate ongoing supply chain and logistics delays.
Inventory decreased 4% compared to the prior year period, primarily due to changes in foreign currency exchange rates as compared to the prior year period, as well as a result of the Heritage Brands transaction and the exit from the Heritage Brands Retail business.
In-transit inventory increased over 10% compared to the prior year period, primarily due to ongoing supply chain and logistics disruptions.
First quarter consolidated results:
Revenue increased 2% to $2.123 billion compared to the prior year period (increased 7% on a constant currency basis).
Earnings before interest and taxes was $210 million compared to $197 million on a GAAP basis and $249 million on a non-GAAP basis in the prior year period.
Earnings per share was $1.94 compared to $1.38 on a GAAP basis and $1.92 on a non-GAAP basis in the prior year period. ■
Swiss medical technology company MedAlliance has been acquired by Cordis for an investment of $35m and upfront closing payment of $200m, together with regulatory achievement milestones of up to $125m and commercial milestones of up to $775m through 2029, for a total consideration of up to $1.135 billion.