About Superior Group of Companies, Inc.
Superior Group of Companies works to keep its business all sewn up. The company makes work clothing and accessories for US employees in several industries. The apparel firm designs, makes, and markets uniforms for employees in the medical and health fields, as well as those who work in hotels, fast food joints and other restaurants, and public safety, industrial, and commercial markets. The company also makes and distributes specialty labels, such as BAMKO, Tangerine, and PublicIdentity. Chairman Gerald Benstock and his son, CEO Michael, run company, which began as Superior Surgical Mfg. Co. in 1920.
The company operates its business through three reportable segments: Uniforms and Related Products (more than 60% of sales), Remote Staffing Solutions (about 30%), and Promotional Products (approximately 10% of sales).
Uniforms and Related Products segment, its signature marketing brands Fashion Seal Healthcare, HPI, and WonderWink, manufactures and sells a wide range of uniforms, corporate identity apparel, career apparel and accessories for the hospital and healthcare fields; hotels; fast food and other restaurants; transportation; and the private security, industrial and commercial markets.
Remote Staffing Solutions segment services the Office Gurus entities, including its subsidiaries in El Salvador, Belize, Jamaica, and the United State. TOG is a near-shore premium provider of cost effective multilingual telemarketing and business process outsourced solutions.
The Promotional Products segment, sells wide range of apparel through its brands BAMKO, Tangerine and Public Identity.
From its headquarters in Florida, Superior Uniform serves to outfit companies and customers nationwide, boasting manufacturing operations overseas. It operates in El Salvador, Belize, Jamaica, and the US through its The Office Gurus businesses. It has domestic facilities in Georgia, Arkansas, Mississippi, Arkansas, Louisiana, and California, international facilities are located in El Salvador, Haiti, Jamaica, and Belice.
Sales and Marketing
The Uniform and Related Products segment has a substantial number of customers, but none of its customers accounted for more than 10% of net sales. The Remote Staffing Solutions segment's largest customer represented 10% of net sales. The largest customer in the Promotional Products segment represented nearly 20% of net sales.
Superior Group of Companies has seen consistent revenue growth in the last five years. Revenue grew by 79% between 2015 and 2019. As Superior's revenue grew, its net income has been more inconsistent, ultimately declining 8% in the same five-year period.
Net sales for the company increased by 9% from $346.4 million in 2018 to $376.7 million in 2019. The principal components of this aggregate increase in net sales were as follows: the effect of the acquisition of CID, a decrease in the net sales of its Uniform and Related Products segment exclusive of CID, an increase in the net sales for its Promotional Products segment, and an increase in net sales for its Remote Staffing Solutions segment after intersegment eliminations.
Net income declined 29% to $12.1 million in 2019 from $17 million in 2018. Superior's cost and expenses increased to $361.4 million in 2019, with the company recording a $1.1 million in pension settlement losses resulting from lump sum pension payments made to various employees upon their retirement or termination during the periods specified.
Superior held about $9 million in cash and equivalents at the end of 2019, a $3.7 million increase from $5.4 million the year prior. Operating activities generated $20 million in 2019 while investing activities used $9.7 million for additions to property, plant and equipment. Financing activities used another $6.7 million, mostly for long-term debt repayments, cash dividends paid, and common stock reacquired and retired.
Superior Group of Companies transitioned its HPI Distribution Center operations in Alpharetta, Georgia, and Gainesville, Georgia to the company's largest and most technologically advanced semi-robotic worldwide distribution center, located in Eudora, Arkansas. The transition to Eudora will bring significant advantages, including updated material handling technology, decreased average receiving and shipment times, lower distribution costs, improved customer service, and the ability to scale and handle aggressive growth plans. The move was announced in mid-2020 and is expected to be completed by the early 4th quarter of 2020.
Superior also combined the Superior Identity and HPI businesses in mid-2019 to bring a greater depth of service to all of its customers. the new organization adopted the HPI name, which is well known as a leader in the uniform industry. Combining Superior's identity uniform businesses creates operational efficiencies that ensure that the company is positioned competitively for the foreseeable future.
Superior Group of Companies was founded in 1920 began as Superior Surgical Manufacturing Co. Inc. In 1968, the company went public and issued it initial public offering in AMEX.
10055 Seminole Blvd
Seminole, FL 33772-2539
Phone: 1 (727) 397-9611
Employer Type: Publicly Owned
Stock Symbol: SGC
Stock Exchange: , NASDAQ
CEO: Michael Benstock
COO, CFO, and Treasurer: Andrew D. Demott
Chairperson: Sidney Kirschner
Employees (This Location): 277
Employees (All Locations): 3,400