NEW YORK — Mixed earnings reports pushed down retail stocks last week.
The WWD Composite Stock Index closed the week off 0.6 percent, at 1,141.65, from 1,148.29 the previous week. The broader S&P 500 added 0.8 percent to close at 1,211.37.
Among earnings news last week, Kenneth Cole Productions Inc. on Thursday posted an 8.6 percent decline in fourth-quarter earnings. The results matched Wall Street’s consensus and company executives gave investors something to cheer about. They provided first-quarter and full-year profit guidance that could beat analysts’ estimates. Investors sent shares of the company up 5.8 percent, closing the week at $29.09 in New York Stock Exchange trading.
In the quarter ended Dec. 31, Kenneth Cole earned $9.3 million, or 45 cents a diluted share, compared with $10.1 million, or 49 cents, a year ago. Total revenues rose 5.3 percent to $136.1 million from $129.2 million. Earnings for 2004 increased 10 percent to $35.9 million, or $1.74, versus $32.6 million, or $1.59, in 2003. Total revenues for the year rose 10.2 percent to $516.2 million.
Kenneth Cole anticipates a first-quarter profit of 36 to 38 cents on revenues of $128 million to $132 million. Analysts’ consensus estimates are for earnings per share of 37 cents on revenues of $122 million. For 2005, the company forecast earnings of $1.94 to $2 on revenues of $550 million to $575 million. The consensus estimate is for a profit of $1.99 on $559 million in revenues.
As talks between Federated Department Stores and May Department Stores Co. gained steam, shares of the two chains took divergent paths. Federated ended the week down 0.4 percent to close at $56.79, while May shares gained 4.4 percent to close at $35.35. Both trade on the Big Board.
Meanwhile, same-store sales for February will be reported by most retailers this Wednesday and Thursday. Although many companies are facing difficult sales comparisons over the year-ago period, the start of the spring selling season appears strong, thanks partly to favorable weather trends, said Piper Jaffray senior research analyst Jeffrey Klinefelter.Several “warm spells helped to drive demand for early spring merchandise, including apparel as well as outdoor gear, while a few February snowstorms helped clear out the last of the winter merchandise,” Klinefelter wrote in a Thursday report previewing February’s sales.
Taking the final spot on the mens’ portion of New York Fashion Week calendar next month will be none other than @tomford. Though he’s shown his men’s wear in New York in the past, this will mark the first time the designer has shown his men’s collection alone during New York Fashion Week: Men’s. His runway show will debut on February 6 at the Park Avenue Armory. #wwdfashion
London-based couture house @ralphandrusso has certainly been in the spotlight, having its dresses worn by @beyonce, Angelina Jolie, Meghan Markle in her engagement photos and more. For couture, Tamara Ralph focused on ornamentation — think: feathers with chain mail, jet embroidery and clusters of pearls and crystals. See the rest of the collection on WWD.com #wwdfashion #couture (📷: @giovanni_giannoni_photo)
Minnie Mouse celebrated her 90th birthday by getting her own star on the Hollywood Walk of Fame. For her celebratory luncheon, @coach’s creative director @stuartvevers dressed her in a custom made prairie dress, complete with Vever’s take on the polka dot – black sequined versions – under a cropped motorcycle jacket. The designer also put his own mark on Minnie’s classic red shoes, infusing the color with sparkles and adding some Coach crystals. “We chose colors that were very Minnie and also represented quintessential Coach elements,” said Vevers. #wwdfashion #nationalpolkadotday (📷: George Chinsee)
@nickjonas is unveiling his first-ever apparel collection through a partnership with John Varvatos. The limited-edition capsule, which makes its debut in spring, also marks the first time the designer has collaborated with anyone on a line. “The process in working with Nick is amazing. It’s inspiring to be around someone who is not only connected with the trade that they do, but also with what’s happening in the environment around him, and how that connects to what we do with style,” said Varvatos. (RG: @johnvarvatos) #wwdfashion
@margotrobbie steps out onto the red carpet wearing @miumiu. The actress is nominated for “Outstanding Performance by a Female Actor in a Leading Role” in “I, Tonya” at the #SagAwards. (📷: Stewart Cook) #wwdfashion
For @massimogiorgetti of @msgm, the Nineties are his favorite decade. “They had a huge impact on my personal growth. What I like of the Nineties is that they are not so precise in terms of style as other decades…there was actually a bit of everything,” he said. As seen on MSGM’s Spring 2018 show: tie-dye and a bit of grunge, two styles that are synonymous with the decade #wwdfashion #wwddecades (📷: @kukukuba)