Shares of Vince Holding Corp. rose 19.5 percent on the New York Stock Exchange Thursday after the fashion firm reported first-quarter results that beat both Wall Street’s earnings per share estimate and analysts’ sales estimate.
Vince shares ended Thursday’s trading session at $33.13 from a Wednesday close of $27.73.
For the three months ended May 3, net income was $1.4 million, or 4 cents a diluted share, against a net loss of $15.1 million, or 58 cents, a year ago. Wall Street was expecting 0 cents for the quarter. On an adjusted basis, taking into account the company’s initial public offering in November and related restructuring transactions last year, net income was $100,000 for the year-ago first quarter, or 0 cents a diluted share. Net sales rose 32.4 percent to $53.4 million from $40.4 million, beating analysts’ consensus sales estimate of $48.8 million.
The company said operating income for the quarter jumped 174 percent to $5.2 million from $1.9 million in the same year-ago period. Excluding transition costs connected with becoming a public company a year ago, operating income rose 64.1 percent for the current quarter, representing 9.7 percent of sales.
Jill Granoff, chairman and chief executive officer, said in a conference call to Wall Street analysts the company delivered double-digit growth across all distribution channels. Those channels include a sales gain of 29 percent in the wholesale segment, and a 41 percent increase in retail sales driven by an 11.1 percent comparable-store sales gain, six new stores and momentum from a Web site relaunch in February.
The ceo said the company expanded its assortment in women’s contemporary apparel with an “increased focus on outerwear and dresses. Our women’s ready-to-wear business continues to provide a solid foundation for us and we are very enthusiastic about our elevated men’s collection, which will build upon this foundation.”
In a telephone interview, Granoff attributed the growth of the brand in part to Vince’s “broad customer base,” and said the company plans to open seven to eight stores this year in the U.S. In the last two weeks, the company opened one on Newbury Street in Boston, and its first men’s only store in the Meatpacking District in Manhattan. She added that Vince Kids will be presented in stores at select locations, such as at the Madison Avenue site, where the large space on the lower level will be built out to house the line.
Internationally, the company continues to see growth in the U.K. and Japan, as well as sales increases in new territories such as Scandinavia and Benelux. A new shop-in-shop opened in Japan in March, bringing the total number of international shops-in-shop to 11 locations.
The company raised fiscal 2014 guidance for diluted earnings per share to between 88 cents and 92 cents, from its prior forecast of 85 cents to 90 cents. The company expects total net sales in the range of $325 million to $340 million.
The annual Veuve Clicquot Polo Classic in Pacific Palisades this weekend drew Kate Hudson, Tracee Ellis Ross, Laura Dern and more. See pictures of the star-studded event on WWD.com. (📷: @chelsealaurenla) #wwdeye
In his new book “Hollywood Royale,” Andy Warhol’s Protégé Matthew Rolston celebrates the Eighties revival of Hollywood glamour. Featuring more than 100 portraits taken by Rolston from 1977 to 1993, the book contains photos of icons like Michael Jackson, Cyndi Lauper, and @drewbarrymore, pictured here in 1991. “Hollywood Royale,” out today, will be accompanied by an exhibition opening at Los Angeles’ Fahey/Klein Gallery on March 1. #wwdeye
"Nowadays when life is not so happy with everything going on in the world, I think people come to me for a little bit of whimsy and color and fun." - Designer Rebecca De Ravenel on her cult-favorite jewelry line. (📸 : @vsteves) #wwd40
“Everyone is talking about how the retail industry is struggling, but I think it’s an incredible time because brands who are doing something different and innovative are setting themselves up for the future,” said @adamgoldston, who founded the luxury athletic brand @apl with his brother @ryangoldsten. The Goldston’s are part of WWD’s 40 under 40: a group of industry notables. See the rest of the list on WWD.com. (📷: @vsteves) #wwd40
@eyeswoon blogger Athena Calderone debuted her first-ever cookbook, “Cook Beautiful,” which is heavily centered on the presentation and visual expression of food. Pictured here are her miso glazed carrots from the book. Get the recipe on WWD.com. (📷: @johnny_miller_) #wwdeye
“It’s passion that helps get anybody to a certain point and it’s what’s propelled me,” said Kith founder @ronniefieg, one of WWD’s 40 under 40: a group of industry notables who are changing the face of retail, fashion and beauty. Fieg, who opened a Manhattan flagship on October 7, began his career at age 13 as a stock boy and salesman for footwear chain David Z. “I think staying true to [my] beliefs, hard work and passion have gotten me to where [Kith] is today.” See the rest of the 40 at WWD.com. (📷: @vsteves) #wwd40
25-year-old @samweaving is about to break out this fall, starring in Netflix’s horror film “The Babysitter,” fittingly out today on Friday the 13th. That’s not the only place you’ll be seeing her, though — Weaving’s got a role Showtime’s “SMILF” and another alongside Frances McDormand and Woody Harrelson in “Three Billboards Outside Ebbing, Missouri.” Though she’s got a full plate at the moment, there’s one role she’s got her eye on: Marilyn Monroe. “I’m a little too young at the moment, but it’s on my bucket list,” the actress told WWD (📷: @dandoperalski) #wwdeye
BFF's Poppy Jamie and Suki Waterhouse celebrated the launch of their bag line Pop x Suki at Nordstrom last night. "The line is really about our friendship, and how we are so different but complement each other," said Waterhouse. 👯 (📷: Katie Jones) #wwdeye
After designing the new @louisvuitton and @bulgariofficial flagships and a @chanelofficial boutique opening in Japan, @petermarinoarchitect has another project on his plate: The Lobster Club. Located in the Seagram Building, it’s the famed architect’s first restaurant project in New York, serving up modern Japanese brasserie-style cuisine. Bronze hues, bespoke material detailing, blush and chartreuse tones and a heavy emphasis on Picasso can be seen throughout. Mark your calendars for Nov. 1 for the much-anticipated opening. (📷: @clint_spaulding) #wwdeye