Dress Barn Inc. ran counter to the retail trend with increases in profits and sales during its first quarter, but the operator of the Dress Barn and Maurices nameplates joined the chorus of firms making lower earnings estimates.
Net income for the three months ended Oct. 25 rose 4.4 percent to $20.5 million, or 32 cents a diluted share, from $19.6 million, or 30 cents, in the year-ago quarter. On average, analysts expected EPS of 27 cents.
Sales during the period rose 3.5 percent to $376.4 million from $363.7 million, but fell 1 percent on a same-store basis. Dress Barn division sales were up 2 percent to $232.8 million and comparable-store sales were flat. Maurices’ sales increased 6 percent to $143.6 million as comps declined 3 percent.
Based on “weakness in consumer spending that may well persist for the remainder of our fiscal year,” the company said it reduced earnings per share guidance for the full year to 90 cents to $1 from an previous range of $1.23 to $1.28. The projection assumes a midsingle-digit decrease in comps for the remaining nine months of the fiscal year.
“We are pleased to have generated solid first-quarter results that exceeded our expectations,” said David Jaffe, president and chief executive officer of the Suffern, N.Y.-based specialty retailer. “In view of the current condition of the consumer market, we have carefully adjusted our inventory levels and promotional strategy.”
At the end of the first quarter, Dress Barn operated 841 stores under its corporate nameplate and 692 Maurices stores.
Harrods plans to remove the famous statue of Princess Diana and Dodi Al Fayed from the bottom of the Egyptian escalators and hand it back to Mohamed Al-Fayed. “We are very proud to have played our role in celebrating the lives of Diana, Princess of Wales and Dodi Al Fayed at Harrods and to have welcomed people from around the world to visit the memorial for the past 20 years,” said Michael Ward, Harrods managing director. “With the announcement of the new official memorial statue to Diana, Princess of Wales at Kensington Palace, we feel that the time is right to return this memorial to Mr. Al Fayed and for the public to be invited to pay their respects at the palace.” More on the news, with reporting by @loreleimarfil, at WWD.com. #wwdnews
@prada is introducing a new project at its men’s fall 2018 show this Sunday: “Prada Invites.” The fashion house invited four celebrated creative minds – @ronanaerwanbouroullec, Konstantin Grcic, @herzogdemeuron and @rem.koolhaas – to each create a unique item with its iconic nylon material. The designs will be unveiled on the runway show, which will take place at the company’s warehouse in Viale Ortles 25. #wwdfashion #mfwm (📷: @martinocarrera)
@kering_official is spinning off its stake in puma in an effort to focus on its luxury brands, the brand operator announced yesterday. “We are proud to have supported the turnaround of Puma, which now has unrivaled capabilities to take full advantage of the specific dynamics of its global markets and is poised to achieve substantial growth,” said François-Henri Pinault, Kering’s chief executive officer and chairman. Artémis will become a “long-term strategic shareholder” of Puma with a 29 percent stake. #wwdnews #wwdfashion (📷: @jilliansollazzo)
The fashion world mourns for celebrated street style photographer, Nabile Quenum, who died at age 32 in Paris.
Quenum, creator of the fashion blog “J’ai Perdu Ma Veste,” was a fashion week fixture, and regularly shot for New York magazine’s The Cut, among other outlets, and brands such as Louis Vuitton, Moncler and Adidas. He was also actively involved in the #NoFreePhotos initiative, which kicked off in the fall. Read more about Quenum in @kbsmoke's story on WWD.com. #wwdnews
@verwanggang and @maisonladuree have teamed up on a dessert collab called Vera Wang Pour Ladurée. The collection, which launched this week, features a specialty macaroon, as well as a wedding cake inspired by one of the designer’s gowns. “I could not imagine a more delicate or sophisticated creation to grace any couple’s celebration,” said Wang. #wwdfashion