NEW YORK — Benefiting from sales in its female apparel and accessories businesses, Pacific Sunwear of California turned up the teen heat as first-quarter income swelled 144.5 percent.
The Anaheim, Calif.-based sun-and-sand-oriented teen retailer said late Monday that for the three months ended May 3, net income rose to $8 million, or 16 cents a diluted share, 2 cents ahead of Wall Street’s average estimates. In last year’s quarter, the retailer’s profits were $3.3 million, or 7 cents. Total sales for the quarter surged 22.6 percent to $198.3 million over $161.7 million, while overall comps increased 13.2 percent.
“We made great progress in our operations,” Greg Weaver, chairman and chief executive, said on a conference call. “Both concepts posted comp increases in all key categories.”
In advance of the results, which came after the markets closed on Monday, investors sent PacSun’s stock to a new 52-week high. Shares rose $1, or 4.1 percent, to close Monday at $24.34 after hitting $24.45 in intraday trading. The previous high was $23.99, reached on May 8.
Specifically at PacSun, female apparel continued its surge with comps in the “strong double-digit” range. Footwear was up in the low-double digits, accessories in the mid-teens and men’s was slightly positive.
The company, which operates 808 stores under the PacSun and Demo nameplates, said it will continue to aggressively grow its girls’ division, noting that the unit comprised 48 percent of overall apparel sales in the first quarter, compared with 45 percent in the fourth quarter. It also said it anticipates the figure to grow to 50 percent in 2003.
Timothy Harmon, president and chief merchandising officer, said although screen-printed T-shirts and bottoms are performing well in the female arena, he sees growth opportunity in cut and sewn tops, including knits, wovens and sweaters.
PacSun is one of only a few teen retailers enjoying rapid growth at the moment. And while the spring/summer season usually brings the surf look to the windows of its teen peers, company executives said its success selling the beach look, even during the back-to-school and holiday selling seasons, only validates its product offerings.Its Demo division delivered a 36.5 percent increase in its comps during the quarter, causing the firm to rethink its growth plan. Weaver said he believes that 200 doors by the end of 2005, as opposed to the 109 currently in operation, is a conservative target for the unit.
@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
“I’m Russian and I love to use all these little tricks that I got from my grandma or my mom. We didn’t have a lot of money for creams or anything like that so we would use a garden as a beauty treatment regime. We’d put cucumber in the fridge and do a cucumber mask,” says model @irinashayk on one of her beauty hacks. WWD asked celebs what their go-to self-care rituals are. See what Naomie Harris, Freida Pinto and more said on WWD.com. #wwdeye #wwdbeauty (📷: @zefashioninsider)
Exclusive: @viktorandrolf are teaming up with @Zalando on a collection made from leftover clothing. The lineup, which lands at the retailer February 1, includes 17 pieces adorned with sliced up and repurposed overstock from the retailer’s private label collection. Pictured here is a look from the collection –– see more on WWD.com. #wwdfashion #wwdnews
@duewestnyc is the newest bar joining the collection of intimate neighborhood-focused spaces in the West Village. The cocktail menu, which includes bitters and syrups made in-house, offers a “Build Your Own Old-Fashioned” – like the one pictured here – where guests can choose from a list of spirits and unexpected sugars and bitters. #wwdeye
Spotted at last night’s National Board of Review gala in NYC: Angelina Jolie. Jolie – along with Meryl Streep, @lupitanyongo and more – continued the all-black dress code from Sunday’s Golden Globes. #wwdeye (📷: @lexieblacklock)