Nordstrom's 1Q Profits and Sales Up NEW YORK — Better control of expenses and improved inventory management along with high gross margin pushed Nordstrom Inc.’s profits up 25.6 percent on an 8 percent sales gain for the first quarter.
Net income for the quarter ended April 29 jumped to $131.2 million, or 48 cents a diluted share, from $104.5 million, or 38 cents, in the prior year on sales the climbed to $1.79 billion from $1.65 billion. Same-store sales showed a 5.4 percent gain for the quarter. The gross margin rate rose to 37.2 in the quarter, which compares to 36.8 percent last year.
“We are pleased to report the results of the first quarter which show steady progress toward our goal of both increasing same-store sales and improving operating efficiency,” said Blake Nordstrom, principal executive officer and president of the Seattle-based department store retailer, on a conference call to analysts. “By controlling expenses and leveraging above planned sales, our [selling, general and administrative] expense rate fell to 27.7 percent, which is the third consecutive year of reserve in the first quarter.”
Sears Sales Skyrocket NEW YORK — Sears Holdings Corp. posted a profit in the first quarter, reversing a year-ago loss, on sales that soared 58 percent due to the inclusion of sales from its Sears stores.
Earnings also were bolstered by the company’s efforts to reduce expenses at both Kmart and Sears Domestic.
On Thursday the company reported first-quarter net income of $180 million, or $1.14 a diluted share, which is against a loss of $9 million, or 7 cents, in the same period last year. The increased earnings beat the average analyst estimate of 64 cents a share for the quarter.
Revenues rose to $12 billion from $7.6 billion during the same quarter last year. The company attributed the increase to the inclusion of Sears stores for the entire quarterly period ended April 29. The prior year’s numbers did not include Sears results for the whole period because the retailer was acquired by Kmart Holding Corp. on March 24, 2005. New York & Co. Profits Weighed Down By Slow Sales NEW YORK — New York & Co. Inc.’s first-quarter profits were pulled down by weaker sales and gross margin, but the company anticipates that better balanced merchandising efforts will attract shoppers.
The specialty retailer, based here, said Thursday that net income dropped to $6.1 million, or 10 cents a diluted share, from $21.5 million, or 38 cents, in the same period last year on sales that?declined 1.1 percent to $267.1 million from $270 million. Results were 1 cent shy of Wall Street analysts’ estimates, according to Thomson Financial.The gross margin rate declined to 29.6 from 36.4 in the previous year. Operating income during the quarter fell to $10.6 million from $37.4 million last year.
Hampshire Group Gains Marisa Christina NEW YORK - Hampshire Group Ltd. said on Thursday that it inked an agreement to acquire Marisa Christina for $4.8 million.
Following the acquisition, which is expected to be completed before the end of May, Marisa Christina will be a wholly-owned subsidiary of the Hampshire Group. Shareholders will receive 65 cents per share, less a pro rata portion representing transaction costs.
“We are looking forward to the expansion of our women’s better market strategy through the acquisition of Marisa Christina,” said Ludwig Kuttner, Hampshire’s chairman and chief executive officer, in a statement.
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