Double-digit declines in earnings and same-store sales are becoming nearly routine for retailers as the third-quarter earnings season commences.
J.C. Penney Co. Inc. and Abercrombie & Fitch Co. on Friday both qualified for the dubious distinction on Friday. While Penney’s won plaudits for its investment in fresh merchandising and A&F for its attention to the long-term integrity of its brands, neither was able to stave off sharp declines in third-quarter profitability. Penney’s earnings were down 52.5 percent in the quarter as comps receded 10.1 percent and it cut full-year expectations. A&F’s net was off 45.7 percent and comps were down 14 percent as the retailer issued full-year guidance well below Wall Street estimates based on expectations of a 26 percent drop in fourth-quarter comps.
Hermès is launching a Laundromat pop-up shop in NYC - dubbed Hermèsmatic - where customers can bring their old scarves to be dip-dyed by an expert. Get all the details on WWD.com. #wwdnews (📷: @donstahl)