Wall Street expected earnings per share of 22 cents on sales of $775.7 million.
“Our results for the fourth quarter and fiscal year were disappointing. However, we made progress during 2012 against our strategic initiatives,” said chief executive officer Thomas Johnson. “We added new talent to our team, injected more-relevant fashion into our assortments and developed our next-generation store model.”
The company, which posted an 8 percent decline in quarterly same-store sales, said it was pressured to slash prices during holiday to pique demand. This pushed quarterly gross margins down to 19.9 percent of sales from 24.3 percent a year earlier.
The teen retailer predicted a first-quarter loss in the range of 15 cents to 20 cents a diluted share, compared with year-ago earnings of 13 cents. Analysts expected a profit of 8 cents a share. The earnings cut assumes a double-digit same-store sales decline, the retailer said on its conference call to analysts and investors.
“We anticipate a challenging first quarter as a result of expected margin pressures from holiday carryover inventory and the impact of a weak macroeconomic environment,” Johnson said. “We will continue to plan our business conservatively and manage our cost structure carefully. While we face near-term challenges, we believe we have the right strategies and the right team in place to improve the trajectory of our business.”
With increased competition in the mall and an offering rooted in basics, and not fashion looks, Aéropostale said its fiscal 2012 net income took a hit, declining 49.8 percent to $34.9 million, or 43 cents a diluted share. Annual net sales remained steady, creeping up 1.9 percent to $2.39 billion.
Etro’s show, titled “The Tree of Life,” was a celebration of the house’s 50th anniversary. “My father founded the company in 1968, which was the year of counterculture and psychedelia. It’s really a show that celebrates that and the paisley design of India and its origin,” said Veronica Etro. #wwdfashion #mfw #ss18 (📷: @delphineachard)
For @msgm’s spring 2018 show, creative director @massimogiorgetti said “Words, sounds, colors. Synthesis and therapy of a collection,” were the inspirations behind the collection, showing today. Read the rest of Milan spring 2018 inspirations on WWD.com. #mfw #wwdfashion #ss18
For her first solo album in over 10 years, Fergie tapped Carine Roitfeld, Mert and Marcus, Giovanni Bianco and more to create a fashion-focused video approach for the record, Double Dutchess. "Giovanni really helped me get back in touch with my tomboy side, my hardside," said the singer. #wwdeye #wwdfashion ( : @slovekinpics)
“Volumes and Graphic Art of the Nineties are the main inspirations of the new Aquilano.Rimondi SS 2018 collection,” said cocreative directors Tommaso Aquilano and Roberto Rimondi. #wwdfashion #mfw #ss18