LOS ANGELES — Opening new stores, growing denim sales and shifting sourcing operations for tighter controls are among the key initiatives driving Guess Inc. sales growth this year, company officials said during the annual shareholder meeting Tuesday.
The maker of young contemporary sportswear finished 2004 with sales rising 14.6 percent to $729.3 million, propelled by growth in men’s, accessories and the company’s new higher-end Marciano line, carried in five stand-alone stores as well as in Guess retail locations. It also launched its Guess Accessories concept in six locations.
Marciano and Guess accessories are “ahead of plan,” said Maurice Marciano, who shares co-chairman and co-chief executive officer titles with his brother, Paul. He didn’t specify sales figures for those businesses during the meeting at the Beverly Hills Hotel here.
Net income in 2004 more than tripled to $29.6 million, or 66 cents a share, compared with $7.3 million, or 17 cents a share, last year. Gross margins rose to 37.6 percent, versus 34.6 percent last year.
In its effort to hit $1 billion in sales by next year, Maurice Marciano said Guess plans to exert more control over its sourcing operation with the opening two months ago of its Hong Kong office, employing almost 60 people.
The firm plans to open 24 Guess stores in 2005. The Marciano concept will add seven stores, including locations in Canada and a flagship at the Fashion Show Mall in Las Vegas, set to make its debut July 15. Guess is still in test mode with Marciano, determining the best store size and product mix.
Five new Guess Accessories stores will open in the U.S. next year, as will 45 licensed units outside of the country.
On the licensing front, Guess has signed a shoe license with Marc Fisher LLC to develop a footwear line under the Guess brand, shipping in the second half of the year. Previously, the footwear was under license to Charles David. It also plans to add $100 million in revenue in 2005 from the purchase of its European jeanswear license that closed in January.
Also, shareholders elected Maurice Marciano and Alex Yemenidjian, former chairman and ceo of Metro-Goldwyn Mayer, to three-year terms on the board.
EXCLUSIVE: @tomford is opening its first-ever beauty store. The boutique, which opens November 20 in London’s Covent Gardens, was designed with the over-the-top glam Ford is known for. Read the full story on WWD.com, link in bio. #wwdbeauty #wwdnews (📷: Simon Wagner) #TomFordBeauty
New York-based DJ @harleyvnewton threw a party to celebrate the holiday collection of her dress and pajama line @hvn at the Ladurée Beverly Hills. It Girls @katebosworth, @rashidajones and more joined in on the fun, which included cocktails, croque monsieur sandwiches and a photo booth. #wwdfashion (📷: Owen Kolasinski/BFA.com)
For the holidays, @Burberry partnered with 20-year-old artist @blondeymccoy on a series of three outdoor murals in downtown Manhattan. The murals are McCoy’s interpretation of a Christmas eve party, the idea of charity and the spirit of family. His third mural, pictured here, is the most personal. The image depicts McCoy’s grandparents and father in London’s Trafalgar Square in the Seventies. “My work often features lots of sentimental objects.” #wwdeye
For spring 2018, designers applied bold colors and cartoonish motifs on everything from sneakers and belts to key chains. See all the top men’s accessories trends on WWD.com. #wwdtrends (📷: George Chinsee; Prop Styling by @rnasti; Market Editor: @luiscampuzano)
The @dior-sponsored @guggenheim international gala pre-party has a history of drawing cool-girl musical acts to serenade the crowd –– and last night was no exception. @haimtheband performed songs both new and old, and lured a star-studded audience with the likes of Rebecca Hall, Kate Mara, Mamoudou Athie and more. #wwdeye (📷: @lexieblacklock)
In a partnership between the @metopera and the @englishnationalopera, “Marnie” was born. The opera, with costumes sponsored by @mrporterlive, is an adaptation of the 1961 thriller by Winston Graham. Arianne Phillips, who created the costumes, is no rookie: She’s styled Madonna for her tours and created costumes for a myriad of films in the past. Read WWD’s interview with Phillips, where she talks about her inspiration for the opera’s costumes on WWD.com #wwdfashion
@barneysnyc took a different approach to their holiday windows this year. Instead of Christmas decor, Barneys tapped @thehaasbrothers to tell a story of positivity, gratitude and inclusivity via heartwarming silliness and humor. “It’s about kids and it’s about coming together and being family and loving each other,” said Simon Haas. #wwdfashion (📷: @joshuascottphoto)
Beauty influencer @kandeejohnson makes her foray into hair care with a collaboration with @ogx_beauty — making it the first time that OGX has teamed up for a product creation. The collab includes shampoos and conditioners in three scents. At 39 and a mom, Johnson is a different profile than the emerging social media stars, but is considered one of the pioneers of the digital beauty influencer world. Read WWD’s interview with her on wwd.com, including the strangest beauty product she’s ever tried #wwdbeauty