Weak second-quarter results hit Quiksilver Inc. hard today, pushing its stock down 41.1 percent to $3.41 in a modestly down market.
Late Monday, the company offered a disappointing report on the quarter, revealing a larger-than-expected loss on lower-than-expected revenues. That led to downgrades from both Stifel Nicolaus and Monness Crespi and left the stock at with its lowest close since Nov. 2, 2012.
Two other southern California firms, both retailers which have recently reported difficult quarters, saw their stocks lose significant ground as well. The Wet Seal Inc. shares were off 4.2 percent to 85 cents and Pacific Sunwear of California Inc. surrendered 3.8 percent to close at $2.28.
Overall, retail stocks were down modestly. The S&P 500 Retailing Industry Group slipped 0.1 percent to 876.07 after dipping less than 0.1 percent on Monday. However, the International Council of Shopping Centers-Goldman Sachs retail sales index had some good news for merchants. According to the index, sales for the week ended Saturday rose 3.1 percent on a year-on-year basis — the second-strongest increase of the last 12 months.
In the broader market, the Dow Jones Industrial Average lost 0.1 percent, closing at 16,722.34, while the S&P 500 came closest to the breakeven point, slipping less than 0.1 percent to 1,924.24. The declines for the Dow and the S&P ended a three-session winning streak.
Among fashion, retail and beauty firms whose stocks are monitored by WWD, the largest increase came from G-III Apparel Group Ltd., up 8.7 percent to $82.54, after it reported first-quarter profits far in excess of consensus estimates. Express Inc. shares were up 3.8 percent to $13.51 while Tumi Holdings Inc.’s stock rose 1.9 percent to $18.52.
European markets were down at the close of trading, with Milan’s FTSE MIB off the most with a 0.6 percent decline to 21,656.65.
The FTSE 100 in London retreated 0.4 percent to 6,836.30, while the CAC 40 in Paris and the DAX in Frankfurt were both down 0.3 percent, to 4,503.69 and 9,919.74, respectively.
Retail and luxury stocks were mostly down, with the day’s biggest declines coming from Aeffe, off 2.1 percent to 1.16 euros; Brunello Cucinelli, 2.1 percent to 18.40 euros; French Connection Group, 1.5 percent to 68 pence, and Safilo Group, 2.4 percent to 16.67 euros.
Debenhams managed to buck the trend and advanced 1.3 percent to 77 pence.
The euro traded at $1.36 against the U.S. dollar, while the pound fetched $1.67 and the Swiss franc equaled $1.11.
“Azzedine has been one of the biggest influences in my life. He has always been such a strong, loving, fatherly figure to me. I call him Papa. His designs are indescribably unique, they are pieces of art. He knew how to make the female form look its loveliest. I have so many memories of him; my favorite might be during my first show with him in Paris. He liked me and he wanted to help me get more work. He called all his friends at Kenzo and Comme des Garcons, and asked them to book me. They said, ‘But she can’t walk!’ And he said, ‘but she has such a great ass!' His friendship and support has been the great privilege of my career. I can't imagine life without him. Repose en paix mon Papa.” - @stephanieseymour tells @wwd. #wwdfashion (📷: @steveeichner) #alaia #azzedinealaia
Azzedine Alaïa, flanked by two of his closest friends, models Stephanie Seymour and Naomi Campbell.
He designed Seymour’s dress for her 1995 wedding to Peter Brant, and treated Campbell (who famously called him Papa), like a daughter. For more on the legendary designer, tap the link in bio. #wwdfashion #alaia #azzedinealaia
Azzedine Alaïa's “I-did-it-my-way” ethos stood out starkly at a time when brands are experimenting with consumer-facing fashion shows, coed formats and trans-seasonal collections – anything to perk up lackluster sales of ready-to-wear in an age of Insta-everything. “It’s not creation anymore. This becomes a purely industrial approach,” the late designer told WWD in an interview last year. “But anyway, the rhythm of collections is so stupid. It’s unsustainable. There are too many collections.” Read more about the iconic designer’s life and work on wwd.com, link in bio. #wwdfashion #azzedinealaia (📷: @WWD Archive, 1986) #alaia
Sneaker reselling app @goat’s latest exhibit, "The Greatest: New York," tells the story of New York's sneaker culture. To celebrate the exhibit, an intimate crowd gathered on Thursday night at the pop-up gallery space, located at Platform in Culver City, to hear guest speaker and illustrator @esymai talk about her own rise in streetwear and women in the business. "For me I'm just someone who is creative. I like to create things," said Chang. #wwdfashion
Azzedine Alaïa, one of the most iconic couturiers of the modern era whose body-con designs defined Eighties fashion, has died in Paris. The diminutive Tunisian-born designer, known for his structured knitted dresses with fitted waists and impeccably cut, figure-hugging second skin silhouettes was deeply admired by his peers, and counted supermodel Naomi Campbell - his adoptive daughter - among his inner circle, one of a gang of glamazons including Farida Khelfa, Carla Bruni and Stephanie Seymour who became ambassadors of his style. (📷: Alexandre Guirkinger) #wwdblast