News

 

March 06, 2008

Specialty Apparel Sales Slow In February

Sales at specialty apparel stores slowed in February with growth of just 1.9%, according to data from MasterCard. This compares to a 5.4% increase in sales for January.

Consumers are cutting back on their spending amid rising prices for gasoline and other staples, the credit card company said.

Luxury apparel sales slid even further in February, dropping 2.2% to $3.5billion, according to MasterCard.

Posted by Blacks on 10:02 AM | Comments (0)

February 28, 2008

PPR's Income Soars On Strength Of Gucci, Puma

French luxury group PPR reported a 34.6% jump in net income for 2007 to $1.26 billion. The results were driven by a strong performance at Gucci and the recent integration of Germany’s Puma.

Gucci ‘s operating income increased by 5.7% to $887 million with total sales of $3 billion.

PPR said that its Bottega Veneta brand also brought in strong sales. The group is still working to reach breakeven on its Yves Saint Laurent investment.

Posted by Blacks on 09:36 AM | Comments (0)

February 27, 2008

Macy's Q4 Results Outshine Expectations

Macy’s reported better-than-expected fourth quarter results this week, with earnings that were up 2.3% to $750 million.

The department store chain managed to pull out some profit despite a 6.2% decline in sales to $8.6 billion.

Macy’s has been challenged since its 2005 acquisition of May Department Stores. It pinned its recent results on tighter inventory control and the implementation of cost efficiencies.

Posted by Blacks on 09:46 AM | Comments (0)

February 20, 2008

EIU Lowers U.S. Growth Predictions For 2008

The Economist Intelligence Unit (EIU) has lowered its U.S. growth forecast for 2008 to 0.8% from its previous forecast of 1.5% growth.

The EIU also predicted that it will take the economy longer to recover in 2009 than originally anticipated. GDP growth for next year is expected to come in at 1.4%, down from its original estimate of 2.0%.

The revisions are based on the continued deterioration of the housing market and balance sheet adjustments in the financial sector, the group said.

Posted by Blacks on 09:51 AM | Comments (0)

February 08, 2008

Luxury Market Remains Strong For Hermès

Fourth-quarter sales at Hermès International climbed 10% to $746 million. The French luxury brand cited strength is the U.S. and Europe with strong demand for its fall/winter collections.

Scarves, neckties, handbags and jewelry also performed well.

Hermès said that it continued to see sales increases in January and predicted that 2008 would be another successful year for the company, with growth estimated at around 10%.

Posted by Blacks on 09:59 AM | Comments (0)

February 07, 2008

Hugo Boss Reports Profit, Sales Surge In 2007

Net profit at Hugo Boss surged 20% in 2007 to $211 million, driven by the strength of retail, women’s wear, shoes and accessories.

Company-owned retail grew 25% to $328 million while sales of women’s wear rocketed 29% to $287 million.

Total group sales increased 9% to $2.2 billion. The German apparel company predicts continued strong growth in 2008.

Posted by Blacks on 09:56 AM | Comments (0)

January 31, 2008

Tod's Reports Double-Digit Growth For 2007

Tod SpA’s 2007 sales grew 14.7% to $900 million on strong sales of footwear, particularly in Europe. The sales boom comes despite a general slowdown in leather goods and accessories.

Apparel sales also gave the brand a boost. Revenue from apparel increased 10.2% last year to $122 million.

Posted by Blacks on 10:22 AM | Comments (0)

January 22, 2008

Swatch Profits From Demand For HIgh-End Watches

Swiss watchmaker Swatch Group reported a 17.6% surge in full-year sales, thanks to strength in Asia and the Middle East.

The company, whose brands include Omega, Breguet and Swatch, said that it benefitted from a demand for high-end watches, despite unstable exchange rates that ate into its margins.

The company predicted further growth ahead, including a double digit increase this month.

Posted by Blacks on 09:14 AM | Comments (0)

January 18, 2008

Tiffany’s Same Store Sales Slide

U.S . same store sales at Tiffany & Co. were down 2% over the holiday season as shoppers controlled their spending. This compares to a 7% growth in comps for November.

However, the jewelry retailer said that overall holiday sales were up 4% in the U.S. and 18% internationally.

Tiffany expects fourth-quarter earnings to come in in-line with expectations at $2.25 to $2.28 per share.

Posted by Blacks on 12:49 PM | Comments (0)

December 20, 2007

Prada Is Planning IPO For 2008

Prada is planning an initial public offering (IPO) in the second-half of next year, aimed at giving it enough cash to expand its retail network.

Prada, which owns the Prada and Miu Miu brands, among others, is expected to let 30% to 40% of the company go public. The Italian company has been valued at around $6 billion to $7 billion.

Posted by Blacks on 10:06 AM | Comments (0)

December 04, 2007

PVH Gets Earnings Boost From Calvin Klein

Phillips-Van Heusen Corp. (PVH) got a boost from its Calvin Klein licensing business in the third quarter. The apparel and footwear holding company reported a 20% increase in earnings for the period to $60.9 million.

Sales in the quarter climbed 22% to $611.4 million, compared to $500.2 million a year ago.

Other brands in PVH’s stable include Geoffrey Beene, Kenneth Cole and Michael Kors.

Posted by Blacks on 10:01 AM | Comments (0)

November 28, 2007

Talbots's Same Store Sales Drop 7.9% In Q3

Talbots Inc. reported a third quarter loss of $9.4 million, compared to profit of 8.1 million a year ago.

The loss was partially pinned on its acquisition of J. Jill and financing costs it incurred within the quarter.

Sales for the quarter slid 2.2% to $556 million. Meanwhile, same store sales fell by 7.9%. The retailer said that it was cautious about the holiday season and its fourth-quarter performance.

Posted by Blacks on 09:41 AM | Comments (0)

November 21, 2007

Saks Sees Continued Strength In Luxury

Saks Inc.’s third quarter sales jumped 14.2% to $796 million thanks to continued strength in the luxury sector, the department store chain said. Profits rose to $21.6 million from $6.2 million a year ago.

While Saks acknowledged a spending slowdown among “aspirational” luxury shoppers who buy at opening price points, true luxury shoppers are keeping the market afloat.

Posted by Blacks on 02:18 PM | Comments (0)

November 20, 2007

Nordstrom Shakes Slowdown To Report Strong Q3

Shaking widespread worries over a retail slowdown, Nordstrom reported a 22% spike in third quarter profits to $166 million.

The company received a boost from its designer business and the $210 million sale of the Façonnable chain.

Although the current market has left the department store chain with an excess of women’s wear, the company is still confident it will have a strong fiscal year with same store sales increasing by 3% to 4%.

Posted by Blacks on 09:55 AM | Comments (0)

November 19, 2007

Emerging Markets Boost Richemont's First Half

Swiss luxury group Compagnie Financière Richemont SA reported a 28 percent spike in earnings for the first half of the year to $1.2 billion.

The company, which owns jewelry brands Cartier and Van Cleef & Arpels, said that jewelry sales surged 9 percent during the period while watch sales saw sales grew by 18 percent.

Growth was strongest in emerging markets such as Russia and the Middle East, the company said.

Posted by Blacks on 09:21 AM | Comments (0)

November 16, 2007

Macy's Lowers Q4 Guidance; Cites Slowdown In Women's

Macy’s joined other major retail chains in lowering its expectations for the rest of the year, saying that it expects fourth quarter sales to grow 1% at most, or possibly drop by as much as 2%.

The prediction came after Macy’s released solid third-quarter earnings of $33 million, compared to a loss of $3 million a year ago.

The lowered expectations are due to a slowdown in women’s apparel and a lack of new fashions, the department store chain said.

Posted by Blacks on 09:47 AM | Comments (0)

November 09, 2007

Hermès Reports Double-Digit Growth In Q3

Sales at Hermès International climbed 12.3% to $542.3 million during the third-quarter of the year, with much of the momentum coming from Asia.

Ready-to-wear, scarves and fragrances were some of the top selling categories, according to the luxury vendor. Leather bags also fared well with a sales increase of 15%.

The results show that there is still strength in the luxury sector despite a slowdown in better and moderate priced goods.

Posted by Blacks on 09:28 AM | Comments (0)

November 08, 2007

Ralph Lauren Lowers Full-Year Outlook

Polo Ralph Lauren lowered its full-year outlook this week, saying that it expects a slowdown in spending among moderate and better customers. It lowered its fiscal 2008 earnings expectations from $3.64 to $3.74 a share down to $3.60 to $3.50 a share.

The warning came as the fashion company reported solid second-quarter results in which sales increased 12.8% to $1.25 billion. However, profits for the quarter dipped from $137 million a year ago to $115.3 million, in part due to acquisition costs.

Posted by Blacks on 07:19 AM | Comments (0)

November 07, 2007

PPR Gets Earnings Boost From Luxury Brands

French conglomerate PPR reported a 22 percent increase in third-quarter sales, thanks to income from its recent acquisition of Puma and a strong performance by Gucci. Sales for the quarter ended Sept. 30 reached $7.1 billion from $5.4 billion a year ago.

The group said that it saw growth of 10.5% in its luxury brand division, which includes Gucci, Yves Saint Laurent and Bottega Veneta. Gucci was a particular bright spot with a 4.8% increase in sales to $742 million. Bottega Veneta saw a 39.2 % jump but at a lower volume. Veneta’s sales totaled $132.4 million.

PPR also made strong gains in its jewelry division, which climbed 11% in the quarter.

Posted by Blacks on 09:22 AM | Comments (0)

October 31, 2007

Liz Claiborne's Q3 Earnings Plunge 65 Percent

Third quarter earnings at Liz Claiborne Inc. plunged 65% to $33.1 million as buyers backed away from its partnered brands. The company is in the middle of a restructuring to rid itself of moderate brands such as Ellen Tracy and Dana Buchman in order to focus on key lines.

A look at the numbers indicates that this is a good idea. Sales of the company’s direct brands increased 18% in the quarter to $629 million. These brands include Juicy Couture, Lucky Brand Jeans, Kate Spade and Mexx.

Posted by Blacks on 09:40 AM | Comments (0)

October 16, 2007

LVMH's Sales Surge 10% In Third Quarter

Third-quarter sales at LVMH Moët Hennessy Louis Vuitton jumped 10.3% to $5.5 billion, the company said this week. The luxury group saw strength across all of its businesses and especially in fashion and leather goods. Jewelry and watches also fared well, showing a 13% increase during the quarter.

Asia was a particularly strong market for the company. Sales in China increased 50% in the first three-quarters of the year, the company said, while U.S. sales rose 13% in the first nine months of the year.

Posted by Blacks on 10:00 AM | Comments (0)

October 12, 2007

Stores Report Slower Sept. Sales

Retail apparel sales were down in September, in part due to unseasonably warm weather that kept consumers from buying fall goods. Department stores reported an average 1.7% dip for the month, according to a recent report. Specialty chains were hit even harder, showing a 2.3% decline.

Despite the apparel slowdown, economists seemed happy with September’s 0.2% increase in overall retail sales, saying that consumers are weathering the housing slump and other economic uncertainties.

Posted by Blacks on 10:30 AM | Comments (0)

October 09, 2007

Tommy Hilfiger Could Be Up For IPO

Private equity group Apax Partners is considering an IPO of Tommy Hilfiger, according to recent reports. The group has allegedly approached a number of investment banks with the deal although Apax is making no official comment on the possible offering.

Tommy could be valued at as much as $3 billion, according to one estimate. Apax purchased the brand two years ago for $1.6 billion.

Posted by Blacks on 09:38 AM | Comments (0)

October 03, 2007

Stella McCartney Turns Its First Profit

Stella McCartney Ltd. has reached profitability, reporting earnings of around $369,000 for 2006. Parent brand Gucci Group gave the label until 2007 to turn a profit as a way to keep tabs on the developing business.

Gucci has been busy forging new sales agreements for Stella over the last year to increase its profile and distribution. Now the company says that it wants to consolidate the brand and concentrate on improving its existing business.

Posted by Blacks on 10:02 AM | Comments (0)

September 25, 2007

Prada's Earnings Soar 40% In First Half

Prada SpA’s earnings rocketed 40 percent in the first half of this year to nearly $190 million, primarily on the strength of its Prada and Miu Miu brands. Sales for the period ended July 31 grew 18 percent to over $1 billion.

The Italian fashion house said that it saw strength in the U.S., Asia and Europe despite the strong euro.

Prada recently revamped and upgraded its Miu Miu brand and the effort has paid off with increased sales of the line at higher rice points.

Posted by Blacks on 10:56 AM | Comments (0)

August 24, 2007

Gap Surprises With Earnings Rise

Gap reported a 19 percent increase in its second quarter earnings to $152 million this week, marking its first profit rise in two years. The struggling San Francisco retailer said that same store sales were down 5 percent in the quarter, but it made up for losses by trimming staff and expenses.

Reaction to spring/summer goods was mixed, Gap said, adding that its fall inventory should bring in a stronger performance.

It will be interesting to see how the company fares over the next few quarters under the direction of new chairman and CEO Glenn Murphy.

Posted by Blacks on 09:18 AM | Comments (0)

August 22, 2007

Saks Trims Losses, Increases Sales In 2Q

Saks Fifth Avenue managed to trim its losses in the second quarter of the year while increasing sales by 15 percent to $694 million. The department store chain reported losses of $25 million, down from $52 million a year ago.

Meanwhile, same store sales increased 13 percent due to turnaround efforts, which included increasing margins and taking fewer markdowns.

Posted by Blacks on 09:47 AM | Comments (0)

August 15, 2007

Macy's Q2 Profit Plummets 77 Percent

Macy’s second quarter profits fell 77 percent to $74 million, leading it to cut its outlook for the rest of the year. The company, which just changed its name from Federated Department Stores, cited weak sales and acquisition adjustments for the loss.

Macy’s acquired May Department Stores in 2005 and has been in the process of rebranding them under the Macy’s banner.

Posted by Blacks on 01:57 PM | Comments (0)

August 08, 2007

Jones, Istithmar Reach New $942M Agreement

In the face of competition from a Japanese rival, Dubai-based private equity group Istithmar has raised its bid for Barneys New York to $942.3 million. Jones Apparel Group, which owns Barneys, previously agreed to an $825 million bid from Istithmar, but reconsidered after getting a higher offer from Japan’s Fast Retailing.

Under the new agreement with Istithmar, Fast is allowed to make one more offer for Barneys before Jones decides if it will accept the Dubai group’s bid.

Posted by Blacks on 11:16 AM | Comments (0)

True Religion Reports Increased Sales, Lower Profits

True Religion saw a sales increase of 16.3 percent in the second quarter of the year, indicating continued demand for premium denim. However, costs took a significant bite out of the Vernon, Calif. company’s profits, which rose just 3.7 percent to $5.1 million.

Administrative and sales costs ate up most of its earnings. The company spent a significant amount of money improving its retail stores and hiring Goldman Sachs to investigate a possible sale of the business.

Meanwhile, international sales plummeted 39.7 percent, partially due to weak demand in Japan and the U.K. The company said it was also hurt by an earlier start on fall shipments.

Posted by Blacks on 09:21 AM | Comments (0)

August 07, 2007

Online Sales Of Jewelry, Watches Surge In Q2

Online sales of jewelry and watches surged 32 percent in the second quarter of this year, according to a recent study by ComScore.Total retail e-commerce grew 23 percent in the second quarter compared to a year-ago.

The figures indicate that there’s still strong momentum in online sales. Even with moderate growth for the rest of the year, the U.S. is expected to rack up over $200 billion in online sales, ComScore said.

Posted by Blacks on 09:52 AM | Comments (0)

August 03, 2007

VFG Gets Income Boost From Hugo, Valentino

Valentino Fashion Group’s income surged 18.3 percent to 58.3 million during the first half of the year, driven by strong sales of the Hugo Boss and Valentino brands.

Sales at Hugo Boss grew 11.5 percent while Valentino saw an 8.2 percent rise.

VFG is bullish about its performance for the remainder of the year, predicting a growth rate of 10 percent. The company is benefitting from direct retail sales and an upgrade in its computer systems.

Posted by Blacks on 10:17 AM | Comments (0)

August 02, 2007

Jones Mulls "Superior" Bid For Barneys

Jones Apparel Group reported a second quarter loss of $47.1 million, compared to income of $36.6 million a year ago. At the same time the company said that it’s still mulling Fast Retailing Co. Ltd.’s $900 million bid for Barneys New York.

Jones already accepted Dubai-based Istithmar’s $825 million offer, but Jones’ board recently dubbed Fast Retailing’s bid as “superior.”

It remains to be seen which suitor will get the upscale retail chain and if the transaction will boost Jones’ bottom line.

Posted by Blacks on 02:35 PM | Comments (0)

August 01, 2007

Claiborne's Q2 Earnings Tumble 65 Percent

Liz Claiborne’s second quarter earnings plummeted 65 percent due to a slowdown in sales of many of its “partnered brands,” which the company is preparing to sell. The partnered brands include Ellen Tracy, Sigrid Olsen and Laundry By Design.

The company’s direct brands, such as Juicy Couture, Kate Spade and Lucky Brand jeans fared much better, with a sales increase of 25.5 percent for the quarter.

Claiborne’s total sales for the quarter ended June 30 came in at $1.13 billion, up 0.5 percent from a year ago. Net income fell to $13.6 million, compared to $39.4 million last year.

Posted by Blacks on 09:20 AM | Comments (0)

July 31, 2007

"Pashmy" Bag Helps Boost Sales At Tod's

Tod SpA’s revenues surged 15.7 percent in the first half of the year. The luxury group said that it saw strong sales from its namesake brand as well as from its newer labels: Hogan, Fay and Roger Vivier.

Sales at Tod’s grew 6 percent in the period, in part due to the demand for the brand’s “Pashmy” bag, which has been seen on the arms of a number of celebrity customers.

Tod’s expects to maintain its positive momentum through the rest of the year as it follows direction from the brand’s new creative director, Derek Lam.

Posted by Blacks on 09:39 AM | Comments (0)

July 30, 2007

Luxury Brands Steam Ahead In First Half Of '07

Big name luxury groups continued to thrive in the first half of this year, driven by demand for jewelry, fashion and leather goods.

PPR, which owns Gucci Group and other luxury brands, reported a sales increase of 18 percent for the second quarter. The company said it saw strong sales across the board, with the only dark spot in Japan.

LVMH Moët Hennessy Louis Vuitton also saw growth in the first half. It reported a 6 percent increase in sales and a 2 percent increase in profit for the period, with continued demand for luxe fashion, footwear and monogrammed leather goods.

LVMH did particularly well with watch and jewelry sales, which leapt 18 percent thanks to brands such as Tag Heuer and Dior.

Posted by Blacks on 09:26 AM | Comments (0)

June 27, 2007

Nike's Earnings Surge 32 Percent

Nike’s earning surged nearly 32 percent in the company’s fourth-quarter, underscoring the continued popularity of athletic footwear.

The Oregon-based company reported income of $438 million on sales that increased 9.4 percent to $4 billion.

Nike said that it saw growth across all regions and categories, and particularly in its Converse division.

Posted by Blacks on 09:45 AM | Comments (0)

June 21, 2007

Brioni Buyback Keeps Business In The Family

The Brioni family has taken control of its eponymous brand through a buyback of a 17 percent stake in Brioni Roman Style S.p.A The shares belonged to former CEO Umberto Angeloni and Gabriella De Simone. They were purchased by Brioni family members for an undisclosed sum.

The buyback will keep the Italian luxury brand in the Brioni family at a time when most fashion brands are being gobbled up by equity firms.

Posted by Blacks on 09:20 AM | Comments (0)

June 13, 2007

Retail Sales Rebound In May

Retail sales rebounded in May, posting a gain of 1.4 percent, in a sign that the U.S. economy is getting back on track. The increase surprised economists who predicted a lower growth rate following April’s slight 0.1 percent increase.

Clothing sales led the gain with a 2.7 percent increase, as consumers shook off concerns over high gas prices and hit the stores.

Posted by Blacks on 09:34 AM | Comments (0)

June 01, 2007

Tiffany & Co.'s Q1 Sales, Net Income Sparkle

Tiffany & Co. posted better-than-expected first quarter results, reporting a 15 percent increase in U.S. sales to $299 million.

The luxury jeweler’s income increased to $50 million from $43 million a year ago on the strength of U.S. and direct sales. International sales were also up, except in Japan.

Given the rosy results, the company raised its full-year guidance and announced plans to expand its locations and introduce new product lines.

Posted by Blacks on 11:05 AM | Comments (0)

May 31, 2007

U.S. First Quarter GDP Revised Downward

First quarter economic growth was the weakest in four years, according to revised figures from the U.S. Commerce Department. The economy grew just 0.6 percent, down from the 1.3 percent estimate the department gave a month ago.

Growth was affected by a major sell off of business inventories in the first quarter and an increase in imports of foreign goods.

Posted by Blacks on 09:31 AM | Comments (0)

May 22, 2007

Saks Reports Surge In Q1 Comps

Saks Fifth Avenue continues to gain momentum, posting a 14.4 percent increase in comps for the first quarter of the year, and a sales gain of 15.9 percent to $792.7 million.

The department store chain has benefitted from a renewed focus on luxury. High-end handbags, accessories, menswear and tailored clothing led sales, the retailer said.

Meanwhile, net profits fell 86 percent when compared to last year’s figures, which were boosted by massive store selloffs.

Posted by Blacks on 08:34 AM | Comments (0)

May 17, 2007

Federated Posts Q1 Income Boost, Plans Name Change

Federated Department Stores is on the mend, reporting first quarter income of $36 million, compared to a loss of $52 million last year.

The company, which owns the Macy’s and Bloomingdale’s chains, said it was happy with the performance of more mature stores, despite a weakness in newer locations.

Federated purchased the Macy’s chain two years ago and has been busy converting its May locations to Macy’s doors.

In fact, Federated plans to change its corporate name to Macy’s, pending shareholder approval.

Posted by Blacks on 08:28 AM | Comments (0)

May 10, 2007

Spring Brings Moderate Gains To Retailers

Spring has been tough for many mass market retailers, who reported same store declines for March and April, but upscale operations are weathering the store with moderate gains.

Nordstrom reported a 3.3 percent gain in same-store sales in April and Federated, which owns Macy’s and Bloomingdale’s, cited a 2.2 gain. Saks was the clear winner with a sales surge of 11.7 percent for the month.

In comparison, Gap reported a 7.1 percent decline for the period, and Abercrombie & Fitch’s sales fell by 15 percent.

Blacks's Take: High gas prices and an uncertain economy will continue to affect mass market players more than high-end operations with wealthier customers.

Posted by Blacks on 11:32 AM | Comments (0)

May 08, 2007

Puma Lowers Outlook As U.S. Orders Slow

Germany’s Puma warned this week that a decline in U.S. orders could slow its full-year earnings and revenue growth. The news comes as French retail group PPR is trying to take a controlling stake in the activewear company.

Puma reported a 3.7 percent gain in first quarter profits, led by footwear. Although a dip in sales for the remainder of the year would decrease the value of PPR’s possible investment, Puma remains optimistic about the deal.

PPR, which owns Gucci, could attract some high-end sourcing and licensing deals for Puma to increase the value of the brand.

Posted by Blacks on 09:06 AM | Comments (0)

May 04, 2007

U.S. Productivity Slips in Q1

U.S productivity slowed to a 1.7 percent growth rate in the first quarter of this year as employers cut workers’ hours to make up for slower economic growth.

This compares to a growth rate of 2.1 percent in the fourth quarter of last year.

While U.S. productivity is nowhere near the level it reached a decade ago, economists believe that the economy is going to continue in a pattern of modest expansion.

Posted by Blacks on 02:16 PM | Comments (0)

May 03, 2007

Jones Profits From Better Market, Barneys

Jones Apparel Group reported an 85 percent increase in income to $48 million for its first quarter of the year as it rebounded from consolidation moves it made a year ago. Revenue ticked up 2.7 percent to $1.25 billion, driven by better apparel, jewelry and accessories.

Jones’s high-end Barneys New York properties also did well, reporting a 10 percent increase in same-store sales for the quarter ended April 1.

Jones cited weakness in its moderate sportswear business and plans to eliminate some of its brands in the category. Rumor has it that Norton McNaughton and Erika lines could be up for sale.

Blacks’s Take: Both Jones and Liz Claiborne cited a downturn in their moderate women’s wear business this week. We expect retailers to continue to pare down their holdings in this category until the brands and market stabilize.

Posted by Blacks on 09:32 AM | Comments (0)

April 27, 2007

Luxury Drives PPR's Q1 Sales

PPR got a first quarter boost from luxury brands Gucci, Bottega Veneta and Yves Saint Laurent, it said this week. The French group reported a total sales gain of 5 percent for the period ended March 31 to $5.8 billion.

While PPR’s non-luxury operations posted middling results, sales at Gucci Group increased by 10.7 percent, Bottega showed a 45 percent gain and YSL’s sales jumped 30.2 percent.

Blacks’s Take: PPR’s results show enduring demand for luxury goods across all markets.

Posted by Blacks on 09:47 AM | Comments (0)

April 26, 2007

LVMH's Q1 Sales Sparkle On Jewelry, Handbags

First quarter sales at LVMH Moët Hennessy Louis Vuitton surged 7 percent to $5 billion on the strength of watches, high-end apparel and handbags.

The French luxury group reported a 20 percent increase in its watch and jewelry division, and strong momentum at fashion brands such as Fendi, Louis Vuitton and Marc Jacobs.

Fendi, for example, posted a double-digit increase in revenue, driven in part by sales of its B-Mix handbag collection.

Posted by Blacks on 09:10 AM | Comments (0)

April 18, 2007

Burberry's 2006 Sales Shine

Burberry’s revenues rocketed over 19 percent in the second half of fiscal 2006 to $886 million. Sales were boosted by the company’s spring line, iconic trenches and accessories.

Sales for the full fiscal year increased over 14 percent to $1.6 billion, the London-based company said.

Blacks’s Take: Burberry’s focus on luxury leaves the company poised for further growth.

Posted by Blacks on 09:43 AM | Comments (0)

March 30, 2007

Movado's 2006 Sales Shine

Movado Group’s 2006 earnings jumped 88 percent to $50.1 million, while sales for the year climbed 13 percent to $533 million.

The watchmaker expects a dip in earnings this year due to a higher tax rate, but that isn’t stopping the company from celebrating its 60th anniversary in fiscal 2008.

The anniversary will be marked by the debut Movado’s new Lacoste line of watches. The company also plans to highlight its heritage through new marketing campaigns and products.

Posted by Blacks on 12:00 PM | Comments (0)

March 27, 2007

Tiffany's Sales Shine Abroad

Tiffany & Co. reported fourth-quarter earnings of $140.5 million, up just 0.2% from a year ago. U.S. sales increased by 13 percent for the quarter ended Jan 31, while sales for the full year 2006 rose 10.6% to $2.65 billion.

The luxury jeweler also reported strong international sales, saying that it reaped $1 billion abroad last year, despite a soft Japanese market. Tiffany plans to open 10 new international stores this year.

Posted by Blacks on 09:42 AM | Comments (0)

March 21, 2007

Perry Ellis Reports Jump In 4Q Earnings

Perry Ellis International saw a 32 percent gain in earnings during its fourth quarter, to $10.7 million. Sales for the quarter ended Jan. 31 increased by 8.3 percent to $232 million.

The fourth quarter results outshined the company’s year-end sales, which dropped 2.3 percent. Perry Ellis management said it was working on improving performance by cutting distribution costs and sales allowances.

Posted by Blacks on 08:23 AM | Comments (0)

March 16, 2007

True Religion's Sales Surge In Q4

True Religion Apparel reported a 17 percent jump in sales for the fourth quarter of 2006 to $30 million. Net income for the quarter ended Dec. 31 surged nearly 33 percent to $5 million, thanks to an expanded product line and strong performance of the company’s retail outlets.

True Religion says it plans to open four additional locations: in Houston; New York; Corte Madera, Calif., and Valley Fair, near San Jose, Calif.

Separately, the company said that cofounder Kym Lubell was leaving the company to launch a high-end jewelry label.

Posted by Blacks on 09:10 AM | Comments (0)

March 09, 2007

Pricing Helps Boost Neiman's Q2

Neiman Marcus’s second quarter adjusted operating earnings jumped 24% to $146 million, thanks to higher margins and strong sales of women’s designer apparel, handbags and jewelry.

The department store chain reported net earnings of $41 million for the quarter ended Jan. 27, compared to earnings of $3 million a year ago. Meanwhile, sales at Neiman’s increased by 8.5% to $1.3 billion in the quarter, compared to $1.2 billion last year.

Posted by Blacks on 08:31 AM | Comments (0)

March 02, 2007

Gap's Q4 Earnings Drop 35%; Comps Down 7%

Gap reported a 35% decline in earnings and a 7% drop in same-store sales for the fourth-quarter of 2006. The disappointing results are just the latest in a series of difficulties facing the San Francisco-based retailer.

Gap said that it is taking bold moves to stem the losses, including closing stores and cutting back on marketing.

The group is currently in the process of looking for a new CEO after it dismissed Paul Pressler in January for failing to turn the company around.

Posted by Blacks on 12:01 PM | Comments (0)

March 01, 2007

Liz Claiborne's Sales Jump, Yet Profit Falls

Liz Claiborne’s fourth-quarter profits sagged due to restructuring costs, yet its sales jumped 10.8% to $1.33 billion. Its sales performance was boosted by the company’s recent acquisition of handbag, shoe and accessories brand Kate Spade.

Claiborne also saw success with its Lucky Brand and Juicy Couture lines and the company said it plans to continue to put marketing dollars into promoting them.

Posted by Blacks on 09:46 AM | Comments (0)

February 14, 2007

Jones Reports Losses For 2006

Jones Apparel Group reported fourth-quarter and full year losses for 2006, citing non-cash charges as a major factor.

In the fourth quarter, the group lost $270 million with a 0.7% dip in revenue. Jones had a full-year loss of $144 million with a 6.5% drop in revenue.

On a positive note, the company said that its Barneys New York stores continued to exceed expectation.

The group, which also owns Nine West and Enzo Angiolini, among other brands, is currently considering a breakup which would put Barneys on the block, according to reports.

Posted by Blacks on 09:55 AM | Comments (0)

January 31, 2007

U.S. Economy Posts Strong Q4 Growth

The U.S. economy sped up in the last quarter of 2006, posting growth of 3.5% thanks to strong consumer spending. This far outpaced third-quarter growth, which came in at just 2%. The fourth-quarter surge surprised economists who initially predicted weak growth for the period.

The economy advanced 3.4% for the full year, compared to growth of 3.2% in 2005, and 3.9% in 2004.

Posted by Blacks on 10:57 AM | Comments (0)

January 25, 2007

Gucci, YSL Boost PPR's Q4 Results

Strong sales at Gucci and Yves Saint Laurent helped boost PPR’s fourth quarter results, although other sectors of the French conglomerate’s business lagged.

Gucci posted a 15% sales increase for the quarter ended Dec. 31 while YSL reported a 22% sales gain.

However, PPR’s overall sales only increased by 3.2% due to the poor performance of its retail division.

Posted by Blacks on 09:31 AM | Comments (0)

January 24, 2007

Coach Reports 30.6% Income Jump In Q2

Coach’s second-quarter income skyrocketed 30.6% to $227.5 million, leading the leather goods and accessories company to raise its 2007 expectations.

The strength of the quarter, which ended Dec. 30, was driven by online sales and demand in Japan, Coach said.

Given its performance, Coach is predicting sales of over $2.6 billion this year, or 25% higher than last year.

Posted by Blacks on 09:42 AM | Comments (0)

January 17, 2007

Burberry's Sales Surge 22.6% In Q3

Third-quarter sales at Burberry jumped 22.6% to $395 million on the strength of outerwear and luxury accessories. The British brand said sales grew across all regions and channels.

On the heels of the success, the company made plans to move its London headquarters to a larger space and consolidate its global operations under the same roof.

Posted by Blacks on 09:15 AM | Comments (0)

January 04, 2007

Department Stores Report Mixed Dec. Results

Federated Department Stores reported a 4.4 percent increase in same-store sales for December, falling below its original expectation for a 5 to 8 percent increase. The owner of Macy’s and Bloomingdale’s predicted an even greater slowdown in January, with growth of 1.5 percent to 3 percent.

Nordstrom, on the other hand, posted a 9-percent increase for December, echoing similar results in higher-end stores.

Posted by Blacks on 10:27 AM | Comments (0)

December 29, 2006

Consumer Confidence Surges In December

Consumer confidence made an unexpected rise in December, according to one closely watched measure. The Conference Board’s Consumer Confidence Index climbed to 109.0 from 105.3 in November, registering an 8-month high.

Despite the gain, economists expect the economy to show only modest growth in the last quarter of the year.

Posted by Blacks on 11:47 AM | Comments (0)

December 20, 2006

Producer Prices Climb In November

Wholesale prices for men’s apparel rose a seasonally adjusted 0.2% in November, while wholesale prices for women’s wear dropped 0.5%, according to Labor Department statistics.

Prices on men’s trousers took one of the biggest leaps, up 2.5% during the month and prices for knit shirts fell 1.2%.

The overall Producer Price Index (PPI) rose 2% in November, its highest monthly leap in over 30 years.

Posted by Blacks on 09:23 AM | Comments (0)

December 15, 2006

Consumer Prices Steady In November

Consumer prices remained flat in November, indicating that the economy is not overheating. Core inflation, which excludes food and energy, was at its lowest level since June 2005.

Meanwhile, production and manufacturing was up in the month, the Labor Department said. The news is expected to leave the federal-funds rate unchanged at 5.25%.

Posted by Blacks on 09:48 AM | Comments (0)

December 07, 2006

Neiman's Q3 Earnings Plunge 50%

Earnings at Neiman Marcus plunged 50% in the third-quarter to $27.2 million. The department store chain pinned the loss on discontinued operations.

Despite the drop, revenues for the quarter ended Oct. 28 grew by 9.8% to over $1 billion.

Posted by Blacks on 09:53 AM | Comments (0)

December 01, 2006

Prada Ponders IPO

Italian luxury brand Prada is again considering an IPO. The company is looking at 2008 to make the offering, after scrapping four earlier attempts.

Prada already sold a 5% stake in the company to Banca Intesa, valued at around $3.6 billion. The brand is reportedly looking for further capital injections to grow the company.

Posted by Blacks on 09:38 AM | Comments (0)

November 29, 2006

U.S. Sales Boost Tiffany's Q3

Tiffany & Co.’s third-quarter income surged 23% to over $29 million on strong U.S. sales. The jewelry retailer reported a revenue increase of 9.5% to $548 million for the period ended Oct. 31.

While U.S. sales remained strong, sales in Japan – the retailer’s largest international market – lagged 8%.

Posted by Blacks on 10:53 AM | Comments (0)

November 22, 2006

Consumer Sentiment Slips Slightly

Consumer sentiment dipped in November from its October levels, according to a University of Michigan survey.

Lower gasoline prices and a stock market boom helped lift consumer sentiment in October, but expectations slipped the following month as gas prices increased toward Thanksgiving weekend.

Still, economists are pointing to positive signs in the economy, including slowing inflation and high employment rates.

Posted by Blacks on 09:21 AM | Comments (0)

November 21, 2006

Designer Lines Boost Nordstrom's 3Q

Nordstrom’s third-quarter earnings surged over 26% to $136 million, thanks to the strength women’s better apparel, designer apparel and accessories.

The Seattle-based chain also saw double-digit growth in its Website and catalog divisions. The strength of the business has led Nordstrom execs to plan aggressive expansion efforts, including store openings in Utah, Ohio, Missouri and Delaware.

Posted by Blacks on 10:05 AM | Comments (0)

November 20, 2006

Jewelry Sales Make Richemont 's Results Shine

Profits at Compagnie Financière Richemont surged 22% to around $816 million in the first half of this year. The luxury goods group benefited from a boom in high-end apparel, leather accessories and jewelry.

Both its Cartier and Van Cleef & Arpels jewelry brands reported double-digit gains for the period ended Sept. 30.

Richemont expects to continue to perform well through the remainder of the year, saying that October sales were strong.

Posted by Blacks on 09:40 AM | Comments (0)

November 15, 2006

Saks' Same-Store Sales Continue To Climb

Saks Fifth Avenue says it’s well on its way to a turnaround, reporting a 9.2% gain in same-store sales for October. The chain posted an 11.1% jump in same-store sales for September and expects to keep gaining momentum.

Saks is competing against Neiman Marcus, Bergdorf Goodman and Nordstrom for upscale clientele, and plans to differentiate itself with a unique point of view.

Posted by Blacks on 09:32 AM | Comments (0)

November 10, 2006

Hermès Reports Modest Gain In 3Q Sales

Third-quarter sales at Hermès inched up 3% to $447 million. The French luxury brand said that sales in Asia were soft – up 1.8% in Japan, for instance – but it is in step with other competitors in the region.

Hermès also said that it would have had higher sales if it had not stopped production of its popular canvas bags, which were discontinued because they diminished the brand’s high-end image.

Posted by Blacks on 09:51 AM | Comments (0)

November 09, 2006

Ralph Lauren's Q2 Income Rockets Over 30%

Ralph Lauren continues to post strong results, reporting a 31.5% jump in net income for its second quarter to $137 million. The popular American brand reported a revenue increase of 13.6% to $1.17 billion for the period ended Sept. 30.

After such a strong showing, Lauren is looking into expanding its retail presence in coming years, with a focused eye on European markets.

Posted by Blacks on 09:33 AM | Comments (0)

November 08, 2006

Federated's Q3 Income Sinks On May Buy

Federated Department Stores reported a $3 million loss for its third-quarter, related mostly to costs associated with its 2005 acquisition of May Department Stores. This compares to income of $436 million for the year-ago quarter.

Despite the loss, the Macy’s and Bloomingdale’s owner reported a sales increase of 5.9% for the quarter to $5.56 billion. Same store sales increased 5.9% in the quarter.

Posted by Blacks on 09:13 AM | Comments (0)

October 30, 2006

D&G's 2006 Sales Border A Billion

Dolce & Gabbana reported record income for its fiscal 2006, thanks to the strength of recent collections and smart investments. Sales at the Italian brand surged 18% to nearly $988 million for the 12 months ended March 31, while profits rose 11% to around $133 million.

The company expects further growth in the year ahead, with planned expansion in China and consolidation in sales of its diffusion line.

Posted by Blacks on 09:27 AM | Comments (0)

October 25, 2006

Jones' Q3 Profit Dips 18%

Jones Apparel Group’s third-quarter profit slipped 18% to $63 million, due partially to the sale of Polo Jeans. Revenue for the quarter ended Sept. 30 dropped 6.5% to $1.24 billion.

Jones seems to be having a challenging year as income over the 9 months ended in Sept. dropped nearly 43%.

Posted by Blacks on 09:59 AM | Comments (0)

October 24, 2006

Bags Boost Coach's Quarterly Profit

Premium handbags boosted Coach Inc.’s first quarter sales by 23% to $554 million. Profit for the quarter ended Sept. 30 rose 34%, to $126 million.

The company’s Legacy and Signature Stripe handbag lines did particularly well.

Looking forward, the New York leather goods maker predicted strong holiday sales with the continued popularity of high-end bags.

Posted by Blacks on 10:12 AM | Comments (0)

October 17, 2006

Third Quarter Sales Slow At LVMH

Third-quarter sales at LVMH Moet Hennessy Louis Vuitton increased by 6.8% to $4.7 billion, the French luxury firm said Tuesday.

The performance of its fashion and leather goods division did not quite meet analysts’ expectations, however, as they represented a slowdown from previous quarters.

For the three months ended Sept. 30, sales of fashion and leather goods jumped 10.2%, while jewelry and watches increased by 21.6%.

Posted by Blacks on 09:36 AM | Comments (0)

October 13, 2006

Consumer Spending Slides In Sept.

Despite an overall drop in retail sales in September, sales of clothing inched up 3%, leading to higher expectations for the holiday season.

Consumer spending dipped 0.4% last month, compared to a 1% increase in August, according to U.S Commerce Department figures. However, lower gas prices helped boost spending on clothing and other goods, the department said.

Posted by Blacks on 09:40 AM | Comments (0)

October 12, 2006

Burberry Reports Jump In Q2 Revenue

Revenue at Burberry jumped 7 percent in the second quarter to $481.8 million on the strength of women’s wear, outerwear and accessories.

The London-based company plans to bank on its success by expanding its retail locations over the next year, including the addition of nine new retail stores.

Posted by Blacks on 09:45 AM | Comments (0)

September 29, 2006

Neiman Plans More Stores As Earnings Rise

Neiman Marcus’s fiscal 2006 earnings rose 7.6% to $450 million on revenue of $4.1 billion.

The department store chain lauded the results, saying it had an outstanding year. Sales of sportswear and designer handbags helped boost sales for the fiscal year ended July 29th.

Neiman said it plans to open at least 50 more stores by 2010, citing continued market demand.

Posted by Blacks on 08:34 AM | Comments (0)

September 15, 2006

Hermès Reports Strong Sales In U.S., Europe

Profit at Hermès surged 7.8% in the first half of the year, reaching $228.4 million.

Strong sales in the U.S. and Europe helped boost the company’s performance, putting it on track to meet its full-year goal of a 7% sales increase. Sales in Japan, where the luxury retailer is expanding its Tokyo flagship location, have also been brisk.

Leather handbags such as the Birkin continue to perform well for the company, outpacing its supply.

Posted by Blacks on 09:15 AM | Comments (0)

September 14, 2006

Retail Sales Inch Up In August

U.S. retail sales increased by 0.2% in August, following a 1.4% climb in July. Although the increase was slight, August sales outpaced economists’ expectations, leading to predictions of a consumer boom over the next few months.

Gasoline prices have fallen 40 cents a gallon since their August highs, leading to more disposable income.

Last month’s unexpected increase was led by sales at food stores, restaurants and bars, while overall clothing sales were down 0.3%, according to the Commerce Department.

Posted by Blacks on 09:24 AM | Comments (0)

September 07, 2006

Gucci's Sales Soar In First Half Of '06

Strong sales of luxury apparel and accessories sent PPR’s profits climbing 27% in the first half of the year. The French group, which owns Gucci and Yves Saint Laurent, said that luxury sales were ‘exceptional’ during the period.

Sales at Gucci climbed 20% for the six months ended June 30, while its recurring operating income soared 69%.

PPR predicted continued strong sales in luxury for the remainder of the year, noting that sales in July and August had been brisk.

Posted by Blacks on 09:35 AM | Comments (0)

September 05, 2006

Armani Reports Banner 2005

Giorgio Armani's profit surged nearly 23% in 2005, to $193 million, on sales that grew 10% to $1.8 billion.

The Italian company benefited from successful business ventures and real estate deals as it continued to grow its brands.

The fashion house introduced the Giorgio Armani Privé couture line last year, and formed a joint venture to expand its A|X Armani Exchange brand, allowing it to attract both ends of the market.

Posted by Blacks on 09:33 AM | Comments (0)

September 04, 2006

Tiffany's Sales Jump While Earnings Slide

Sales at Tiffany & Co. jumped 9% in the second quarter to $575 million.

The jewelry retailer’s earnings slipped to $41.1 million from $50.5 million a year ago, in large part due to a $6.6 million tax benefit it received last year.

The New York-based company also cited slower sales in Japan and higher sourcing costs as reasons why earning slid in the quarter ended July 31.

Tiffany is predicting a mid-single digit earnings increase in the third quarter, before taxes.

Posted by Blacks on 09:36 AM | Comments (0)

August 29, 2006

Consumer Confidence Dips In August

Consumer confidence took a dive in August on concerns over the economy and the employment environment.

The Conference Board’s index of consumer confidence fell to 99.6 during the month, from 107.0 in July.

The slump in the housing market, high energy prices and inflation fears are also being blamed for the atmosphere of uncertainty.

Posted by Blacks on 09:35 AM | Comments (0)

August 18, 2006

Nordstrom Reports Strong Q2

Nordstrom’s net income jumped 20% in the second quarter, thanks to a boost from its summer clearances and July anniversary sale.

The better chain reported income of nearly $179 million for the quarter ended July 31, on sales of $2.3 billion.

Men’s apparel, accessories and cosmetics performed particularly well, according to the retailer.

The second quarter results bode well for fall sales and should lead to rosy full-year results, it added.

Posted by Blacks on 09:50 AM | Comments (0)

August 17, 2006

Retail Apparel Prices Drop

Retail apparel prices dipped 1.2% in July as inflation slowed. Women’s apparel took the biggest hit, falling a seasonally adjusted 1.9%.

The July numbers represented the steepest decline in retail apparel prices in eight years.

The U.S. core inflation rate, which excludes energy and food, rose just 0.2% in July, setting the stage for lower prices.

Posted by Blacks on 09:47 AM | Comments (0)

August 16, 2006

Saks Reports Q2 Loss Of $52 Million

Saks Inc. reported a second quarter net loss of nearly $52 million, after taking a series of special charges.

The company’s Saks Fifth Avenue chain narrowed its operating loss for the quarter ended June 29 to $33.3 million, from $42.8 million a year ago, as comps rose 3.4%.

Margins at SFA remained flat, however, as the chain struggled to squeeze out higher profits.

Posted by Blacks on 11:18 AM | Comments (0)

August 10, 2006

Federated On Track After Solid Q2

Federated Department Stores outperformed expectations in the second quarter, thanks to strong same-store sales and a hefty IRS tax refund.

The retail giant reported sales of $6 billion for the quarter ended July 29, compared to sales of $3.6 billion for the year-ago period. Federated purchased May Department Stores last year, giving it a big boost in sales volume.

Net income for the quarter came in at $317 million compared to $148 million last year, while same-store sales rose 4.6%.

Federated said it was pleased with the results, as they signaled that the May stores integration was on track.

Posted by Blacks on 09:16 AM | Comments (0)

August 08, 2006

Polo's Q1 Revenue Rockets 27%

Polo Ralph Lauren increased its first-quarter revenue by nearly 27% to $954 million, citing strong sales across the board.

Income for the quarter ended July 1 skyrocketed 58% to $80 million.

Sales of high-end apparel, including Ralph Lauren Purple Label, helped boost results. The company’s home goods also performed well, leading it to raise its full-year expectations.

Posted by Blacks on 09:48 AM | Comments (0)

August 04, 2006

True Religion Adds Believers In Q2

True Religion’s second-quarter earnings jumped 15.7% to $4.9 million, indicating continued strength in the premium denim market.

Sales jumped nearly 40% in the quarter ended June 30 as the brand banked on broad department store distribution.

Looking ahead, the Los Angeles-based company is planning to buildout its non-denim products, adding shirts, outerwear and jewelry, and will open new standalone and outlet stores. One new store is planned for New York’s SoHo, while another will open in Miami’s South Beach.

Posted by Blacks on 10:06 AM | Comments (0)

August 03, 2006

For Better Retailers, Sales Sizzle In July

High-end retailers pulled off moderate gains in July, despite a heat wave that kept many shoppers indoors.

Federated Department Stores posted a 3.3% increase in same store sales, while Nordstrom reported a 5.3% gain. Federated expects similar results in August, predicting an increase of between 3% and 4%.

Mass-market mall denizens, such as Gap, Old Navy and Banana Republic, continued to post lackluster results, reporting a 4% drop in same store sales.

Posted by Blacks on 09:08 AM | Comments (0)

July 27, 2006

Gucci, Bottega Boost PPR

Stellar sales at Gucci and Bottega Veneta helped boost PPR’s second-quarter results beyond analysts’ expectations.

The French conglomerate reported a 6.2% sales increase to $5.05 billion for the quarter ended June 30.

Sales at Bottega Veneta jumped 81% during the quarter, while Gucci rang in a 25% sales gain. Even Yves Saint Laurent, which has been posting losses, managed to increase sales by 29% in the quarter.

Posted by Blacks on 09:17 AM | Comments (0)

July 26, 2006

Jones Reports Second Quarter Slide

Jones Apparel Group’s second quarter revenue slipped 8.7% to $1.07 billion, while income dropped 33.2% to $33.6 million.

Despite the declines, Jones said it was pleased with strength in certain areas of its business, namely the performance of Barneys New York.

The company pointed to the sale of its Polo Jeans business, completed in the first quarter of the year, as a reason behind the revenue drop.

Posted by Blacks on 09:35 AM | Comments (0)

July 25, 2006

LVMH Signals Continued Life In Luxury

Luxury group LVMH Moet Hennessy Louis Vuitton reported a 10.5% jump in second quarter sales to $4.3 billion Tuesday, led by sales of handbags, watches and champagne.

Results at the Paris-based company signal continued strength in the luxury goods sector.

LVMH said that it saw strong growth across all categories and geographical regions, boosting its quarterly sales beyond analysts’ expectations.

Posted by Blacks on 10:59 AM | Comments (0)

July 19, 2006

U.S. Consumer Prices Continue To Climb

U.S. Consumer prices continued to rise in June, leading to speculation that the Fed will raise interest rates again when it meets next month.

The U.S. Consumer Price Index climbed 0.2% in the month, following a 0.4% rise in May.

Meanwhile, June wholesale prices for U.S. –made apparel and textiles increased 1.3% compared to a year ago.

Posted by Blacks on 08:27 AM | Comments (0)

July 16, 2006

Report: Prada Sells Company Stake

Prada Group is selling a 5% stake in the company to Italian bank Banca Intesa, according to a report out Sunday.

Sale of the $126.5 million stake would open Prada up to influences outside of the family business and possibly lead to a market listing.

The move follows recent efforts to improve Prada’s books by selling off underperforming brands such as Jil Sander and Helmut Lang.

Posted by Blacks on 10:44 AM | Comments (0)

July 13, 2006

New Stores Boost Burberry Revenue

First-quarter revenue at Burberry surged 18.4% to over $248 million, driven by the opening of new retail locations.

Retail sales for the period ended June 30 rose 61% while the company’s wholesale business dropped 2.6%.

The results are sure to bolster the company’s recently announced plans to open new retail locations in the U.S.

Posted by Blacks on 08:50 AM | Comments (0)

June 30, 2006

U.S. Consumption Slows In May

U.S. personal consumption rose at the same rate as personal income in May, climbing 0.4%. This was lower than the 0.7% rise in spending recorded for April.

Disposable income made a 0.3% advance in May, but was flat after adjusting for inflation.

Meanwhile, the Fed increased the federal funds rate by a quarter point on Thursday to 5.25%, marking its 17th consecutive quarter point rise.

Posted by Blacks on 08:37 AM | Comments (0)

June 29, 2006

First Quarter GDP Higher Than Expected

The U.S. economy grew faster than originally expected during the first quarter of this year due to fewer imports, while inflation came in slightly lower.

Gross domestic product rose 5.6% from January to March, instead of the previously predicted 5.3%, the U.S. Commerce Department said.

The growth far outpaces the 1.7% increase in GDP registered for the fourth quarter of 2005.

Posted by Blacks on 10:44 AM | Comments (0)

June 14, 2006

Consumer Prices Continue To Climb

U.S. core consumer prices rose 0.3 percent in May, beating economists’ expectations. May was the third month in a row that consumer prices took a climb, leading to predictions that the Fed could again raise interest rates.

Consumer prices overall are 4.2 percent higher than a year ago, according to Labor Department statistics.

Meanwhile, wholesale prices on domestic apparel for girls and women increased by 0.5 percent in May, but were down 0.2 percent from a year ago. Wholesale prices for domestically produced boys' and men's apparel fell 0.3 percent in May, down by 1.3 percent from a year ago.

Posted by Blacks on 09:17 AM | Comments (0)

June 09, 2006

Neiman's Reports Strong Sales, Expansion Plans

Neiman Marcus’s third quarter results were mixed, as same store sales showed a moderate increase while income plunged on interest expenses.

The luxury department store chain, which is owned by Texas Pacific Group and Warburg Pincus, reported net income of $40.5 million for the quarter ended April 29 on sales of $1.03 billion.

Same store sales rose 4.5 percent over a year ago, driven by women’s apparel, including couture, eveningwear, and contemporary apparel, according to Neiman execs.

While sales increased 10 percent over the year-ago quarter, income was eaten up by interest expense since Texas Pacific and Warburg Pincus financed their October buy of the retailer with debt.

Neiman predicted growth going forward, with plans to open new stores and increase Website sales.

Posted by Blacks on 12:13 PM | Comments (0)

May 30, 2006

Jil Sander Plans For Profit

Jil Sander reported higher than expected losses for its latest fiscal year, but holds high hopes for a recovery this year.

The German label, which was recently sold to London-based private equity firm Change Capital, reported losses of £25 million for the fiscal year ended Jan. 31, 2006. Sales slipped 5.2 percent to £86 million, from £93 million the previous year.

The company pinned the results on one-time restructuring costs, and predicted a positive operating profit for this year.

Posted by Blacks on 09:24 AM | Comments (0)

May 25, 2006

Burberry's Sales Up, But Profit Slides

British luxury brand Burberry reported a 4 percent rise in sales to £742.9 million for its latest financial year, thanks to increased retail activity.

The company has reduced its sales through department stores and concentrated on building out its own shops. The cost of the new stores, and a hefty investment into a new technology system, weighed down Burberry’s profits, however.

Profits for the year ended March 31 dropped 4 percent compared to the previous year.

The London-based company is spending tens of millions of pounds on a new infrastructure system that will take a bite out of profits for the next few years, but will eventually streamline costs, it said.

Posted by Blacks on 11:12 AM | Comments (0)

May 19, 2006

Nordstrom Reins In Expenses, Reaps Profit

Nordstrom’s first-quarter profits soared nearly 26 percent on a revenue gain of 8 percent.

The high-end chain attributed the gains to belt-tightening and improved inventory management. Sales of men’s apparel also helped boost its performance.

Income for the quarter ended April 29 came in at $131 million, or 48 cents a share.
Meanwhile, same store sales increased by 5.4 percent over the period.

Posted by Blacks on 08:53 AM | Comments (0)

May 18, 2006

Consumer Prices Continue To Climb

U.S. consumer prices rose 0.6% in April, compared to a 0.4% increase in March, the Labor Department reported this week.

The April increase was driven by a 3.9% jump in energy prices, sparking fears that inflation is on the rise and the Fed may increase interest rates once again.

Consumer prices were also given a boost by the increasing cost of services, which pushed up core factors such as rent.

Posted by Blacks on 08:42 AM | Comments (0)

May 17, 2006

Saks Plans Turnaround After Q1 Sales Slide

Saks’s first quarter sales dipped almost 33 percent to $1.04 billion, in part due to the department store group’s sale of its Carson Pirie Scott operation, it said this week.

Total same store sales were also down by 1.9 percent during the quarter, Saks said.

Inside the group, the Saks Fifth Avenue chain continued to struggle in the first quarter, according to Saks CEO Stephen Sadove.

Sadove told press that the group tried to make marketing and sales changes too quickly and managed to isolate SFA’s core customer base as it pursued younger clientele.

The group is currently working to address the issues at SFA by relaunching its private-label brand and determining key customer profiles by store.

Posted by Blacks on 08:23 AM | Comments (0)

May 13, 2006

Consumer Optimism Slips

Consumer jitters over rising oil prices, higher interest rates and a touchy political climate could take its toll on retail sales in the second quarter, economists warned this week.

U.S. consumer optimism fell in May to its lowest level since Hurricane Katrina, according to a survey by the University of Michigan.

If the sentiment remains, consumers could decide to curb their spending in favor of filling up their tanks and paying their bills.

Posted by Blacks on 10:31 AM | Comments (0)

May 12, 2006

Hermès Gets Boost From Bags

First-quarter sales at Hermès rose 11.3 percent to $435 million, boosted by sales of leather handbags and wholesale orders for Jean Paul Gaultier’s ready-to-wear collection.

The results landed a bit below expectations, however, due to production problems in watches and ready-to-wear.

While sales of the French brand’s signature leather handbags were strong, overall sales in the handbag category were marred by the discontinuation of a canvas line, the company said. Hermès decided to cutout the canvas collection for fears that it would make its brand look like it was moving down market.

Posted by Blacks on 09:20 AM | Comments (0)

May 10, 2006

Federated's Q1 Profit Dips

Federated Department Stores reported a $52 million loss for the first quarter, due mainly to costs related to its acquisition last year of May Department Stores.

Results for the quarter ended April 29 show a significant change from the $123 million profit the company reported a year earlier.

Federated said it’s still absorbing its $11 billion buy of May, which is the parent company of the Macy’s and Bloomingdale chains.

Still, the retail giant reaped revenue of $5.9 billion for the quarter, up 63 percent from a year ago. Federated saw strength in the fact that same store sales at Macy’s and Bloomingdale’s were flat during the quarter, rather than down as many expected.

Posted by Blacks on 08:51 AM | Comments (0)

May 06, 2006

Retail Jobs Slip In April

Employment in department and apparel stores dropped last month, possibly due to industry consolidation and technology advances.

Department stores shed over 15,000 jobs, leaving an employment base of 1.6 million, while apparel and accessories shops trimmed 1,000 employees, leaving 1.4 million.

The figures were released Friday by the U.S. Labor Department, which also reported that fewer jobs were created last month than expected. U.S. employers added 138,000 non-farm jobs in April, down from the 200,000 created in March.

The average hourly wage and length of the work week jumped, however.

Posted by Blacks on 01:26 PM | Comments (0)

May 04, 2006

Report: Versace Readying For IPO

Versace posted better-than-expected results for 2005, leading to speculation that the Italian brand could soon be ready for an IPO.

The company trimmed its operating losses from $114 million to $7 million last year, opening the possibility that it could turn a profit by the end of this year. If it does, the Versace family could begin considering a public sale in 2007, company chief executive Giancarlo Di Risio recently told WWD.

Posted by Blacks on 08:44 AM | Comments (0)

May 01, 2006

Consumer Income, Consumption Climb

Both personal income and consumption surged in March, despite high oil prices and inflationary worries.

Personal income rose by 0.8 percent, after a 0.2 percent increase in February, the U.S. Commerce Department said Monday. The climb accompanied a 0.6 percent increase in personal consumption during the month.

While consumer outlook seemed to brighten in March, the Fed is still concerned about inflation since the price index for personal consumption expenditures rose 0.3 percent in March, excluding food and energy.

Posted by Blacks on 09:37 AM | Comments (0)

April 29, 2006

Liz's Profits Plunge On Slower Sales

Liz Claiborne Inc.’s profits plunged 34.3 percent in the first quarter of this year on sales that slipped 3.4 percent.

The U.S. apparel company pinned the performance on fewer departments store orders and costs related to its own restructuring program.

Liz, which licenses brands Juicy Couture and Ellen Tracy among others, reported revenue of $1.17 billion for the quarter, compared to $1.21 for the year-ago period. Looking ahead, the company expects revenue to be flat or slightly up in the second quarter.

Posted by Blacks on 11:58 AM | Comments (0)

April 28, 2006

U.S. Economy Revs Up In Q1

The U.S. economy picked up the pace during the first quarter of the year, growing by 4.8 percent.

This represented the fastest growth in nearly three years, thanks to both business and consumer spending.

Consumer spending accounts for nearly two-thirds of gross domestic product and provided a significant boost at the beginning of this year.

Fourth-quarter 2005 growth came in at a much more moderate 1.7 percent, due to consumer belt tightening.

Posted by Blacks on 09:48 AM | Comments (0)

April 27, 2006

Sales Soar At Gucci

Gucci Group’s first quarter sales soared 19 percent to over $1 billion, buoyed by strong demand for luxury goods in Asia and Japan in particular.

The Gucci brand benefited from the popularity of Frida Giannini’s RTW collection, the group said.

Gucci’s parent company, French conglomerate PPR, reported a sales increase of nearly 8 percent to $5.3 billion for the quarter ended March 31. PPR said it is benefiting from general economic expansion and strong demand in international markets.

Posted by Blacks on 11:18 AM | Comments (0)

April 26, 2006

Jones' Q1 Profit Falls 70%

Jones Apparel Group’s first-quarter profit dropped 70 percent on revenue that dipped nearly 10 percent, yet the company managed to beat expectations.

The declines were pinned largely on one-time charges and the company’s sale of Polo Jeans Co.

Jones still managed to rake in income of $25.8 million, or 22 cents a share, on revenue of $1.22 billion.

Excluding the one-time charges, Jones earned 66 cents a share, beating analyst estimates by 13 cents a share.

The results come amid speculation over who may possibly bid for Jones. The retail giant put itself on the block last month and its rumored suitors include private equity firms Texas Pacific Group and Cerberus Capital Management. The company is said to be weighing its options.

Posted by Blacks on 12:25 PM | Comments (0)

April 25, 2006

Q1 Sales Soar At Hugo Boss

First quarter sales at Hugo Boss soared 15 percent over last year to $74 million.

The rosy results, released Tuesday, prompted the German brand to lift its profit forecast for the remainder of the year. Boss, which is controlled by Italian fashion house Valentino, expects a profit rise of 10 percent to 12 percent this year.

Boss said it benefited from strong sales of its womenswear line and overall growth in the luxury sector.

Posted by Blacks on 08:03 AM | Comments (0)

April 20, 2006

LVMH Reports Q1 Sales Surge

LVMH Moet Hennessy Louis Vuitton reported a 15 percent surge in sales for its first quarter, citing strong demand for spirits, jewelry, fashion and cosmetics.

The French luxury group reaped $4.38 billion in sales for the quarter ended March 31.

Watch and jewelry sales jumped 23 percent, while sales of fashion and leather goods increased by 14 percent.

Perfume and cosmetics sales climbed 18 percent with a boost by Dior’s Capture Totale makeup and skin care, LVMH said.

Posted by Blacks on 04:01 PM | Comments (0)

April 19, 2006

Consumer Prices Up On Gas, Clothing

U.S. consumer prices rose 0.4% in March as the cost of gasoline and clothing climbed, the Labor Department said Wednesday.

The rise was in line with expectations but notably higher than February’s 0.1% increase.

Gasoline prices shot up 3.6% last month while the cost of clothing increased by 1%.

Core consumer prices, excluding food and energy, rose 0.3% in March, representing the biggest inflation gain in a year.

Posted by Blacks on 07:38 AM | Comments (0)

April 12, 2006

Armani Reports Double-Digit Growth

Giorgio Armani rang in record sales and profits for the fourth quarter of last year, and the company appears to be keeping up the momentum.

Sales for the quarter ended Dec. 31 rose 10 percent to $1.8 billion, while profits shot up 18 percent, according the Italian fashion house.

Sales for the first quarter of this year also made significant gains, increasing by 8 percent.

Armani has been riding a wave of luxury lust recently, and was voted by consumers as one of the most coveted fashion brands.

Posted by Blacks on 04:55 PM | Comments (0)

April 11, 2006

Movado's Sales Tick Up

Watch group Movado posted strong sales for its fiscal year 2006, thanks to its growing retail presence and brand recognition, it said this week.

Net sales for the year ended Jan. 31 came at $470.9 million, or 12.4% higher than the previous year. It posted net income of $26.6 million for the period, slightly higher than the year before.

Looking ahead, the group said it expects sales to grow by between 9% and 11% for fiscal 2007.

Posted by Blacks on 08:16 AM | Comments (0)

April 10, 2006

BCBG Plans Big Growth, IPO

BCBG could go public as early as this year, according to company CEO Max Azria.

Los Angeles-based BCBG owns 15 brands, including BCBG Girls and French sportswear label Alain Manoukian.

Azria hopes to go public as he shapes it into a billion-dollar company. BCBG is working with financial advisors Citigroup and Goldman Sachs to schedule the IPO.

Posted by Blacks on 09:09 AM | Comments (0)

March 28, 2006

Consumer Confidence Hits 4-Year High

U.S. consumer confidence surged in March to reach a four-year high, The Conference Board said Tuesday.

Consumers perceived a strong economic start to 2006, after a lackluster finish to 2005.

The March index for consumer confidence came in at 107.2, compared to 102.7 for the previous month, beating analysts’ expectations.

Despite the confident start, economists predict that consumer sentiment will cool later in the year as the economy settles into a more steady growth rate.

Posted by Blacks on 08:56 AM | Comments (0)

March 24, 2006

Hermès Profits On Japanese Recovery

Hermès reported a 15% gain in net profit for 2005, thanks to increased demand in Japan, which accounts for roughly 30% of the company’s sales.

The Paris-based firm reported profit of €247 million for the year, coming in slightly lower than analysts’ expectations.

While Hermès is making gains, it is not growing as fast as rival Louis Vuitton, which reported a 21% rise in earnings for 2005.

Hermès will have to be diligent about increasing sales in product categories outside of its already popular handbag business if it wants to keep up with competitors who are planning their own Asian invasion.

Posted by Blacks on 09:01 AM | Comments (0)

March 21, 2006

Calvin Klein Helps Dress Up PVH Earnings

Calvin Klein apparel and licensing operations made a strong showing for Phillips-Van Heusen Corp. in the fourth quarter of last year, helping it beat earnings expectations.

The Madison Avenue apparel group reported a 33% increase in earnings for the quarter, on revenue of $460.1 million.

The company, which owns a number of high-profile brands, including Michael Kors, BCBG and Kenneth Cole, identified its Calvin Klein business a key growth engine.

Posted by Blacks on 08:34 AM | Comments (0)

March 16, 2006

Consumer Prices Stay Steady

Consumer prices inched up 0.1% in February after a 0.7% rise in January thanks to declining energy costs, the U.S. Labor Department reported Thursday.

While energy costs fell 1.2% last month, they are still 20% higher than a year ago.

Consumer prices in general remain checked, although retail prices for women’s apparel slipped 1.3% in February, coming in 2.5% lower than a year ago.

Prices for outerwear dropped 2.5% last month, due in large part to unseasonably warm weather in the northeast, while dress prices rose by 2.6%.

Posted by Blacks on 11:23 AM | Comments (0)

March 09, 2006

PPR Profits On Gucci Group

French retail group PPR registered a nearly 10% rise in operating profit for 2005, thanks in part to the strength of its Gucci brand.

The group, which also owns Yves Saint Laurent, reported earnings before taxes of €1.08 billion. The results were slightly below analysts’ expectations but still represented a strong showing.

PPR said that its luxury division, centered on Gucci, also saw strong gains at the start of this year indicating a positive retail environment going forward.

Posted by Blacks on 08:47 AM | Comments (0)

March 07, 2006

U.S. Productivity Slips In Q4

Business sector productivity fell by 0.5% in the fourth-quarter of last year, following a 4.2% rise the previous quarter.

Despite the year-end drop, the fourth-quarter figure beat analysts’ estimates of a 0.6% decline in productivity for the period.

While U.S. productivity is expected to rebound in the first quarter of this year, economists predict the U.S. will grow at a slower rate than it has historically as emerging markets catch up with the west.

Posted by Blacks on 01:32 PM | Comments (0)

March 03, 2006

LVMH Posts Double-Digit Profit Jump

Luxury group LVMH reported a 21% increase in net profit for 2005, in part due to the success of its Louis Vuitton brand.

LVMH Moët Hennessy - Louis Vuitton, which owns 50 luxury brands, including Moet & Chandon champagne, TAG Heuer watches and Dior fragrances, brought in net profit of €1.44 billion on revenue of €14 billion last year.

The group said it continues to see strong momentum in the luxury sector, allowing it to post double-digit revenue growth into 2006.

Posted by Blacks on 08:47 AM | Comments (0)

February 22, 2006

Federated's Q4 Flies On May Merger

Federated Department Store’s net income rocketed nearly 59% in the fourth-quarter, fueled by its recent acquisition of May Department Stores.

Sales for the quarter ended Jan. 31 increased by almost 87%, Federated said.

The retailer benefited from strong performances from Macy’s and Bloomingdale’s, allowing it to beat analysts’ expectations.

Posted by Blacks on 09:17 AM | Comments (0)

February 15, 2006

Jones Profits On Barneys

Jones Apparel Group, owner of brands such as Anne Klein, Nine West and Barneys luxury stores, reported a 60% jump in fourth quarter profits Wednesday.

Its year-end results were given a boost by the strong performance of its licensing business, footwear holdings and Barneys stores. The luxury stores posted an 8% gain in comparable sales for the fourth quarter, while full-year comparable sales grew by 10.8%.

Posted by Blacks on 08:32 AM | Comments (0)

February 10, 2006

Hilfiger's Profit Sinks On Slow U.S. Orders

Tommy Hilfiger’s third-quarter profit dropped over 23% to $15.5 million due to a decline in orders from U.S. department stores.

The company said that it was affected by its exit last year from the young men’s denim business, and sluggish sales of its womenswear.

Hilfiger said that its $1.6 billion sales to Apax Partners is still going ahead, however, and is due to close in the spring.

Posted by Blacks on 08:22 AM | Comments (0)

February 09, 2006

Q4 Sales Keep Hermès In Luxury's Lap

French luxury house Hermès reported an 8% increase in fourth-quarter sales, citing the strength of its Jean Paul Gaultier women’s ready-to-wear collection and the popularity of its new perfume.

The Un Jardin sur le Nil scent kept results smelling pretty, the brand said, while Gaultier’s designs continued to impress.

Sales for the quarter reached $520 million, with 29% of its business coming from Japan, and almost 17% coming from Europe.

Hermès plans to further spur its worldwide popularity by opening a string of new stores this year.

Posted by Blacks on 08:31 AM | Comments (0)

February 07, 2006

Polo Sales Up 20%, Led By Luxury

Polo Ralph Lauren’s sales jumped 20% in the third-quarter thanks to the strength of its luxury line and strong holiday sales.

Profits for the quarter came in at $90.7 million, compared to $75 million for the year-ago period.

Its wholesale business was up 6% in the most recent quarter, while retail sales increased by 15%.

Luxury womenswear and accessories led the gains, and the company said it would continue to move more of its product line up market to sustain the growth.

Posted by Blacks on 08:26 AM | Comments (0)

January 30, 2006

U.S. Income, Consumption Grows

Both personal income and spending climbed in December, according to new U.S. Commerce Department figures.

Americans’ personal income increased by 0.4% last month, at the same rate its November growth. Personal consumption, meanwhile, rose by 0.9%, meaning that consumers are saving less.

Some economists predict that the spending surge will help boost the economy, and it's bright news for retailers as well.

Posted by Blacks on 08:24 AM | Comments (0)

January 27, 2006

PPR Grows On Lust For Luxury

French conglomerate PPR reported sales growth of nearly 4% for the fourth-quarter, thanks to a boost by its luxury brands.

The owner of such coveted labels as Gucci and Bottega Veneta reported sales of almost $6.5 billion for the quarter, although retail sales in general were down.

Posted by Blacks on 08:36 AM | Comments (0)

U.S. Economy Slows In Q4

The U.S. economy posted its slowest growth rate in 3 years for the fourth quarter of 2005 due to sluggish consumer and government spending.

The economy grew by 1.1% last quarter, bringing total 2005 growth to 3.5%. Economists had predicted a 2.8% gain for the fourth quarter, but growth was curbed by a 17.5% drop in consumer spending on durable goods.

Retailers also felt the pinch as holiday shopping fell below expectations.

Posted by Blacks on 08:20 AM | Comments (0)

January 26, 2006

Federated Sees Modest 2006 Comps Gain

Federated Department Stores predicted same store sales would be up by 2% to 3% this year, bringing in over $27 billion.

The conglomerate is still digesting its merger last summer with the May Department Store Company, which added 330 Macy’s stores to its already significant holdings.

Federated said it expects its profitability to improve markedly in 2007 and beyond.

Posted by Blacks on 08:32 AM | Comments (0)

January 24, 2006

Coach: Sales Are In The Bag

Coach’s 2005 fourth-quarter earnings grew over 37% to $174 million, compared to $126 million a year earlier, the company said Tuesday.

Holiday sales of handbags and leather accessories helped drive the better-than-expected results.

The New York company lifted its sales expectations for 2006 based on the figures, predicting sales of over $2 billion for the year.

Posted by Blacks on 07:56 AM | Comments (0)

January 20, 2006

Leather Leads LVMH To Strong Q4

Strong sales of fashion and leather goods helped boost LVMH’s fourth-quarter revenue, the luxury group said Friday.

Revenue grew by 13% to €4.3 billion in the last quarter of 2005, compared to the €3.8 billion it posted a year earlier.

The LVMH group, which includes the Louis Vuitton and Hennessy cognac brands, is benefiting from a heightened demand for luxury goods.

Fashion rival The Gucci Group also posted solid gains last year thanks to its high-end labels.

Posted by Blacks on 02:21 PM | Comments (0)

January 16, 2006

Retail Sales To Slow

The National Retail Federation expects retail sales to grow by 4.7% this year, a drop from the 6.1% gain reported last year.

Consumers will be affected by slower home sales and labor concerns, causing them to spend more conservatively.

First-quarter sales are expected to grow by 5%, a dip from the 6.5% growth rate recorded in the fourth quarter of 2005.

Posted by Blacks on 03:28 PM | Comments (0)

January 12, 2006

Burberry Sales Slide in Q3

Underlying wholesale sales at Burberry dipped 21% in the third quarter of 2005, leading to curbed expectations for the remainder of the year.

Despite this, underlying retail revenue notched up 11% during the same quarter, the British fashion house said.

Underlying sales refers to numbers that discount Burberry’s Taiwanese and Spanish business ventures, and strip out exchange-rate fluctuations.

Posted by Blacks on 10:26 AM | Comments (0)

December 30, 2005

Online Shopping Surges

Online holiday spending surged 30% to over $30 billion, according to a new survey.

While much of the growth came in the computer and electronics sectors, the sharp rise points to greater consumer confidence in Internet shopping in general.

Apparel and jewelry retailers should take note, as they may have to learn to compete in the online world if they aren’t already. Whether it’s an Internet storefront, or just establishing a presence online, few can afford to ignore the outlet.

Posted by Blacks on 01:40 PM | Comments (0)

December 28, 2005

Consumer Confidence Creeps Up

Consumer confidence rebounded in December, driven by general economic strength, declining oil prices and job growth.

The consumer confidence index climbed to 103.6, compared to 98.3 in November and 85.2 in October, according to a Conference Board report released Wednesday.

The report reflects positive expectations for the New Year, and implies that consumers have overcome the economic ambivalence caused by Hurricanes Katrina and Rita.

Posted by Blacks on 01:04 PM | Comments (0)

December 27, 2005

December Sales Still Unclear

Early numbers on holiday retail sales have so far been mixed, with some sources reporting 8 percent year-over-year growth, and others sticking to a modest 3 percent.

What is clear is that categories such as home furnishings, video games and electronics were the big movers, while apparel and jewelry did not fare as well.

We are receiving some anecdotal reports from our menswear merchants that sales picked up significantly in the week before Christmas, however.

Posted by Blacks on 12:36 PM | Comments (0)

December 16, 2005

Versace Narrows Losses

Accessory sales and a softer image have helped Versace narrow its losses in 2005, the Italian fashion house said this week.

Versace expects to post a loss of €15 million for the year, compared to €95 million last year.

The brand traditionally known for its brash image and bright colors has benefited from a softening of its look into sexy everyday wear and strong sales of accessories such as the Madonna handbag. The €1,000 bag, designed by the pop diva herself, has been a sellout hit.

Looking ahead, Versace said it expects to continue to lessen its losses thanks to new management and its fresh product mix.

Posted by Blacks on 12:46 PM | Comments (0)

December 14, 2005

GUS, Burberry Part Ways

Shares of Burberry dipped following its spinoff Tuesday from retail and business services group GUS Plc.

GUS decided to cut the luxury brand loose earlier this year in an effort to clean up its balance sheet.

Burberry posted strong gains in 2004, including a 16% profit increase, but started to see its profits slide in 2005.

Posted by Blacks on 06:28 PM | Comments (0)

December 06, 2005

U.S. Productivity Revs Up in Q3

U.S. productivity posted its fastest rise in two years last quarter, according to newly released Labor Department figures.

Business productivity rose to 4.7% during the third quarter, up from the previous estimate of 4.1%.

Economists say the unexpected rise could signal that the U.S. economy is stronger than previously thought. Recent economic indicators, including housing starts and unemployment figures, have led some to believe that the current cycle of economic expansion is coming to a close.

Posted by Blacks on 12:29 PM | Comments (0)

December 03, 2005

Talbots' Sales Nudge Up In Nov.

Classic clothing purveyor Talbots reported a 3% increase in November sales compared to the same period last year.

Sales increased to $131.3 million thanks to strong Internet sales and successful marketing initiatives, the Massachusetts-based retailer said.

Talbots’ success last month offers a good model for other high-end merchants seeking to cash in on the holiday season. Internet shopping has become a crucial aspect of the season, with online discounts encouraging consumers to click and buy.

Posted by Blacks on 10:58 AM | Comments (0)

December 01, 2005

Profits At Tiffany's

Higher gross margins helped raise Tiffany & Co.’s third-quarter net profits by 37%, the jewelry retailer announced this week.

Third-quarter earnings came in at $23.8 million, compared to $17.4 million a year earlier. Worldwide comparable store sales also served to boost the retailer’s performance, it said.

The iconic jewelry dealer has also seen significant success in recent years by offering comparatively lower-priced trinkets to the mass market. The Elsa Peretti line has been a particular favorite and Tiffany’s silver heart tag bracelet seems to be hanging on every wrist from Boston to Bangkok.

Posted by Blacks on