Difficulties in Europe and the U.S. prompted Maidenform Brands Inc. to lower its outlook for the year, sending the firm’s stock lower.
“Continued weakness in Europe and a choppy domestic market are placing downward pressure on our outlook, however we continue to execute well against our strategies and we are excited about our upcoming new product launches and branding initiatives," said Maurice Reznik, chief executive officer.
The firm projected earnings per share of $1.50 to $1.60 versus the $1.75 to $1.85 forecast in May. The stock was down 7.2 percent to $20.74 in midday trading.
The intimate apparel firm also reported second-quarter results that showed declines, but were stronger than expected.
Net income fell 1.6 percent to $11.4 million, or 49 cents a diluted share, from $11.6 million, or 50 cents a year earlier, when results were reduced by 17 cents per share by a litigation settlement. Earnings in the most-recent quarter were 1 cent ahead of the 48 cents analysts expected.Sales for the three months ended June 30 declined 7.4 percent to $157.5 million from $170 million. Sales to department stores and national chains rose 1 percent to $70.4 million.
Maidenform appears to be gaining business at Kohl’s Corp. and losing, for now, at J.C. Penney Co. Inc. The company said it “shipped the Jennifer Lopez brand for the first time to a chain store customer which was partially offset by sales declines at a mid-tier department store as it transitions to a new pricing and merchandising strategy.”
The trend at Penney's, which is revamping its strategy under ceo Ron Johnson, might shift as Maidenform's inked an agreement to build shops at the chain next year.
In honor the @CFDA’s announcement of @iamnaomicampbell receiving the Fashion Icon Award at the 2018 #CFDAAwards, which will take place on June 4, here’s a #tbt of the supermodel on @michaelkors’ runway in 1991. #wwdfashion #wwdarchive (📷: George Chinsee)
“I was making the guacamole when my scout saw me,” says model @stuckinteenage on being discovered just six months ago while working at @chipotlemexicangrill. Since then Williams has signed with @dnamodels, walked in her first show at @calvinklein and landed on the cover of @vogueitalia – a high point of any model’s career. To read @lisajlockwood’s full interview with the model on her experiences thus far, head to WWD.com – link in bio. (📷: George Chinsee)
“I love the idea of dialogue, period. It’s where I’ve always gotten my inspiration from: hearing other women speak, their journeys and their paths,” said @hereisgina, who delivered the keynote speech during @sxsw for @createcultivate in partnership with @fossil. For her two panels, Rodriguez chose female empowering, female-led and female entrepreneurs to focus on. Head to WWD.com to read more about her thoughts on Time’s Up, growing up in a family of women and why we “need a girls’ club.” #wwdeye #sxsw (📷: @jgreenery)
Leading luxury brand are shaking things up to keep up with streetwear. Case in point: the arrival of @mrkimjones as artistic director of @diorhomme. Jones, who succeeds @Kris_Van_Assche, is seen as one of the handful of designers who can actually straddle the luxury and streetwear worlds — which could lead to even more changes at established brands. What could this mean for the rest of the menswear landscape? Head to WWD.com to find out what experts predict #wwdfashion (📷: @franckmura)
“It’s like buying groceries. You’re going to buy the best mango, the best mozzarella, the best things. You have to, or others are going to take it all,” said @gabrielahearst on why she uses only the finest fabrics. Last week, Hearst received her first @cfda nomination for Womenswear Designer of the Year, and earlier this month she opened a permanent showroom in Paris. To read @jessiredale’s interview with the designer and find out why this is shaping up to be a big year for her, head to WWD.com. #wwdfashion (📷: @francoisgoize)
“It’s an interesting thing, playing a younger version of your mother. It’s an interesting concept. I adore my mom and love her in every capacity, but it was just something that had never crossed my mind,” says @anniemstarke on playing a young Joan Castleman in “The Wife.” The same role will be played by her mother Glenn Close. Read more about her growing up in the film industry as the daughter of producer John H. Starke and Close and what she has planned for the future #wwdeye (📷: @nataliamantini)
@asics is launching a new streetwear sneaker inspired by its latest ambassador, @steveaoki. The Hyper-Kenzen x Aoki, which will launch at @footlocker stores exclusively tomorrow, is a slip-on style that incorporates the brand’s proprietary Gel technology through beads integrated into the midsole for comfort and endurance. Read the full story on WWD.com.