Destination XL Group Inc. continues to move forward with its transformation from Casual Male, although results in the first quarter were impacted by colder-than-usual weather in the early part of the period.
Net income for the quarter ended May 4 slid 55.4 percent to $1 million, or 2 cents a diluted share, versus year-ago income of $2.3 million, or 5 cents a share. Sales fell 2 percent to $93.6 million from $95.5 million a year earlier.
Analysts were looking for earnings of a penny per share on sales of $99.6 million.
In a conference call Friday morning, David Levin, chief executive officer of the Canton, Mass.-based big and tall men’s wear retailer, said although sales in April rebounded, they were not enough to offset softness earlier in the quarter. Overall, consolidated comparable-store sales in the period were down 0.5 percent.
On a more positive note, Levin said the company continues to make progress on its “accelerated three-year strategy” to roll out its DXL superstore concept. There are currently 54 stores in operation, and these units, which accounted for 22 percent of total sales in the quarter, posted comp-store increases of 17.7 percent in the period.
He said dollars per transaction also rose at these stores, increasing 17.6 percent in the first quarter to $154 from $131 last year. Dollars per transaction at Casual Male XL stores during the quarter were $110. Levin also pointed to “better sales productivity” at the DXL stores, with an “improved sales mix toward higher-end name brands and increased sales penetration in tailored clothing. Also, all DXL stores now have a custom made-to-measure department that offers a robust selection of suits, sport clothes along with dress pants and shirts.”
The company is expecting to achieve further traction at these stores as a new national marketing campaign gains steam. New commercials launched May 5, and the results so far appear to be “resonating with our customers,” he said.
He said the goal is to grow the company’s total customer base by 40 percent over the next three years. Looking ahead, Levin said the company will expand the number of DXL stores in operation to between 105 and 112 this year, while closing 110 to 119 Casual Male stores. By 2015, all Casual Male stores are expected to be closed, replaced by 215 to 230 DXL units.
For fiscal 2013, the company is continuing to project comp-store sales increases of between 8.5 and 10 percent, total sales of $415 million to $420 million and diluted EPS that are break-even.
Taking the final spot on the mens’ portion of New York Fashion Week calendar next month will be none other than @tomford. Though he’s shown his men’s wear in New York in the past, this will mark the first time the designer has shown his men’s collection alone during New York Fashion Week: Men’s. His runway show will debut on February 6 at the Park Avenue Armory. #wwdfashion
London-based couture house @ralphandrusso has certainly been in the spotlight, having its dresses worn by @beyonce, Angelina Jolie, Meghan Markle in her engagement photos and more. For couture, Tamara Ralph focused on ornamentation — think: feathers with chain mail, jet embroidery and clusters of pearls and crystals. See the rest of the collection on WWD.com #wwdfashion #couture (📷: @giovanni_giannoni_photo)
Minnie Mouse celebrated her 90th birthday by getting her own star on the Hollywood Walk of Fame. For her celebratory luncheon, @coach’s creative director @stuartvevers dressed her in a custom made prairie dress, complete with Vever’s take on the polka dot – black sequined versions – under a cropped motorcycle jacket. The designer also put his own mark on Minnie’s classic red shoes, infusing the color with sparkles and adding some Coach crystals. “We chose colors that were very Minnie and also represented quintessential Coach elements,” said Vevers. #wwdfashion #nationalpolkadotday (📷: George Chinsee)
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@margotrobbie steps out onto the red carpet wearing @miumiu. The actress is nominated for “Outstanding Performance by a Female Actor in a Leading Role” in “I, Tonya” at the #SagAwards. (📷: Stewart Cook) #wwdfashion
For @massimogiorgetti of @msgm, the Nineties are his favorite decade. “They had a huge impact on my personal growth. What I like of the Nineties is that they are not so precise in terms of style as other decades…there was actually a bit of everything,” he said. As seen on MSGM’s Spring 2018 show: tie-dye and a bit of grunge, two styles that are synonymous with the decade #wwdfashion #wwddecades (📷: @kukukuba)