Downtown Los Angeles clothing manufacturer American Apparel announced a substantial quarterly loss on Monday, but a large part of that was due to one-time charges relating to an internal investigation of former chief executive Dov Charney and retroactive German customs payments.

American Apparel reported a net loss of $19.1 million (-11 cents a share) for the quarter ended Sept. 30, compared with a loss of $1.5 million (-1 cent a share) for the same quarter the previous year. Revenue ticked down 5 percent to $156 million, while adjusted earnings before interest, taxes, depreciation and amortization – a measure companies like to use as a proxy for the profitability of their core business – increased 38 percent over the same quarter last year to $13.5 million.

“We are proud to have achieved this growth during a period of company-wide operational restructuring and in a challenging macro-economic environment for retailers,” the company’s interim chief executive, Scott Brubaker, said in a press release announcing the earnings. “I am encouraged by these results, and am optimistic about the future prospects of the business.”

Charney was pushed out by American Apparel’s board earlier this year in the wake of poor performance by the company and a history of controversial behavior. The company spent $5.3 million in legal and consulting fees during the third quarter dealing with Charney fallout.

The company announced earnings after markets closed Monday. Shares rose 5 percent to 77 cents in Monday trading.