NEW YORK — Burlington Coat Factory reduced its losses and boosted its same-store and net sales and gross margins during the first quarter.
In the three months ended Aug. 30, the off-price retailer, acquired and taken private by Bain Capital Partners for $2.06 billion in 2006, registered a net loss of $32.5 million, one-third less than the $50.4 million loss logged in the prior-year quarter.
Boosted by 33 new stores, for a total of 423, net sales were up 4.2 percent to $707 million from $678.8 million while same-store sales advanced 0.2 percent. Gross margin improved 330 basis points to 37.9 percent of sales from 34.6 percent, attributed by the company in its Form 10-Q, filed with the Securities and Exchange Commission, to both higher initial markups, due to what it described as “better negotiating and buying efforts,” and an accelerated markdown schedule.
“This is a positive start to our fiscal year,” said Mark Nesci, CEO. “We remain cautiously optimistic during these uncertain macroeconomic times and realize that any progress will require the continued hard work and dedication from all areas of the business.”
The firm said that EBITDA during the quarter was $11 million compared to an EBITDA loss of $8.5 million a year ago. Interest expense was reduced to $26.4 million from $33.2 million, but the firm’s income tax benefit was also cut, to $23.9 million from $33.4 million.
Burlington Coat operates 399 stores under the Burlington Coat Factory Warehouse name, two Cohoes Fashions units, 15 MJM Designer Shoes shops and one Super Baby Depot.
@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)