News
May 08, 2008
Hermès Reports Double-Digit Growth In Q1
Sales at Hermès surged 13.4% to $622 million during the first quarter of the year. The French luxury brand cited growth across all categories and regions, except Japan.
The brand saw a sales increase of almost 22% in silks and textiles for the quarter ended March 31, while ready-to-wear and fashion accessories climbed 15.6%. Sales of leather handbags grew by 25%.
Hermès pinned the growth on expansion and new store openings which it plans to continue throughout this year.
Posted by Blacks on 09:03 AM | Comments (0)
April 25, 2008
Gucci's Sales Slip On Product, Supply Issues
Sales at Gucci dipped 3.3% in the first quarter of the year to $770 million as luxe brand faced issues such as slower traffic and supply chain troubles. Gucci said it also missed the mark by focusing on its high-end products instead of the middle-range goods that consumers are clamoring for.
Gucci parent PPR said that it would work on overcoming these problems in the quarters ahead. Meanwhile, PPR’s other luxury brands showed much stronger growth for the period ended March 31.
Yves Saint Laurent reported sales growth of 20% to $95 million while Balenciaga offered high, double-digit growth.
Posted by Blacks on 10:02 AM | Comments (0)
April 23, 2008
Coach Reports Sales Spike, Plans 40 New Doors
Coach’s third-quarter income spiked 8.3% to $162 million on sales that jumped 19% to $745 million.
Comps for the period ended March 29 were up 9%. Riding on the wave of success, Coach detailed plans to open up 40 new doors over the next year. It has developed a new store format called “the gallery” in which all of Coach’s merchandise is easily viewed in one place.
The company declined to give specific projections for the rest of the year but said it expected double-digit growth.
Posted by Blacks on 10:05 AM | Comments (0)
April 17, 2008
LVMH Sales Surge, Led By Leather & Fashion
Sales at LVMH Moët Hennessy Louis Vuitton climbed 12% to almost $6 billion in the first quarter of this year, led by leather and fashion goods.
Sales in these categories jumped 18% thanks to demand for brands such as Marc Jacobs, Fendi, DNKY, Celine and Pucci.
The company also reported strong performances in Asia and Europe, although Japan is still flagging. LVMH predicted continued strength in its retail businesses despite slow U.S. economic growth.
Posted by Blacks on 09:58 AM | Comments (0)
April 11, 2008
Armani Plans 50 New Doors As Profits Spike
Profits at Armani increased 17% last year to $396 million on revenues that climbed 8% to $2.2 billion. The company said that it saw consistent growth across its product line and in all sales regions.
Armani said it plans to open 50 new stores worldwide this year, in more mature markets. It opened 49 new doors last year.
The company also predicted that wholesale orders for its fall collections would increase by 7% this year, thanks to the diversity of its product line.
Posted by Blacks on 09:34 AM | Comments (0)
April 09, 2008
Levi's Looks Abroad For Sales Growth
Levi Strauss and Co. saw its earnings surge 12% in the first quarter to $97.1 million, aided by a reduction in its restructuring charges and interest expenses.
The San Francisco-based company reported a 4.4% increase in revenue to $1.08 billion. Looking ahead, however, it said that it sees most of its growth coming from overseas and the women’s market.
Sales in the U.S. and Japan have been slowly declining, forcing the company to look to new growth markets, such as China.
Posted by Blacks on 09:33 AM | Comments (0)
April 03, 2008
Lululemon's 4Q Earnings, Sales Soar
Athletic apparel retailer Lululemon saw a 16-fold increase in earnings for its fourth quarter to $14.6 million on revenues that doubled to $105.1 million.
The Canadian company pinned its success on great store locations and the healthy living trend. Comps for the period ended Feb. 3 came in at 41%.
The company plans to open 35 more stores in North America this year as well as launch an e-commerce site.
Posted by Blacks on 10:58 AM | Comments (0)
April 01, 2008
Prada's Group Profits Soar 66% In 2007
Prada’s 2007 profits climbed nearly 66% to $174 million, thanks in part to strong demand in Asia. The group, which owns the Miu Miu, Prada and Car Shoe brands, reported a sales increase of 14% to $2.27 billion for the year ended Jan. 31.
The company got a boost from sales of leather goods and accessories, which increased 25% in the period.
Meanwhile, sales in the Asia-Pacific region increased 42%, compared to growth of 10.8% in North America.
Posted by Blacks on 09:30 AM | Comments (0)
March 25, 2008
Tiffany's Sales Surge 10%, Beating Expectations
Tiffany & Co. reported better-than-expected results for last year, even though a one-time charge ate into its profits. Profits fell 16% to $118.3 million due to a discontinuation of some watch styles and a write-off of loans on Tahera Diamond.
The company’s total sales increased by 10% to $1.1 billion, however, which exceeded analysts’ expectations.
While sales in the U.S. were relatively sluggish, international sales rose 21%, leading the retailer to plan new store openings in international markets.
Posted by Blacks on 09:45 AM | Comments (0)
March 21, 2008
Silk, Men's RTW Boosts Profits At Hermès
Net profits at Hermès rose 7.3% in 2007 to $395 million while overall sales increased by 7.3% to $2.38 billion.
The company said it got a boost from men’s ready-to-wear, silk, fashion accessories and jewelry. The French brand plans to add more stores and increase its production capacity in response to growing demand.
In the U.S., new locations are slated for San Diego and Santa Fe, New Mexico.
Posted by Blacks on 10:39 AM | Comments (0)
March 20, 2008
Guess Plans 245 New Stores As Earnings Climb
Shaking off the economic slowdown, Guess Inc. said that its fourth-quarter earnings climbed 20.3% while revenues soared 30.3% to $488 million.
Results for the quarter ended Feb. 2 capped a strong year for the retailer, leading to further expansion plans.
Guess said it wants to open 245 new stores this fiscal year: 185 abroad and 60 in the U.S. The company already opened 184 new doors last year.
Posted by Blacks on 09:47 AM | Comments (0)
March 18, 2008
Ferragamo's Profits Soar, Opening Door For IPO
Salvatore Ferragamo Italia’s net profits surged 34.2 percent in 2007 to $64.5 million. Meanwhile, sales at the luxe Italian brand rose 6.5% to $941 million.
The company attributed the growth to retail expansion and improved sales in Asia and Europe. Ferragamo opened 20 new stores and 25 franchised units last year.
The company is planning an initial public offering later this year and the strong 2007 results are expected to help draw investors.
Posted by Blacks on 09:59 AM | Comments (0)
March 17, 2008
Women's Retail Apparel Prices Fall In Feb.
Women’s retail apparel prices fell for the first time in three months in February due to heavy markdowns by merchants wanting to clear out their old winter stock.
Prices in February dropped 1.8% after a series of small monthly rises, according to Labor Department figures. Prices for the period were down 3.8% compared to last year with the biggest declines recorded in suits and separates.
Outerwear was the only category that saw year-over-year gains. Although outerwear prices dropped 1% in February, they were up 4.1% from last year.
Posted by Blacks on 10:06 AM | Comments (0)
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 re