The situation stabilized a bit at Tailored Brands Inc. in the first quarter as the custom business continued to gain steam for the men’s wear retailer.The former Men’s Wearhouse reported Wednesday that net earnings for the period ended April 29, were $1.8 million, up from $1.6 million for the same quarter of last year. On an adjusted basis, net earnings were $13.3 million, compared to $13.9 million last year. Operating income was unchanged, hitting $31 million for the first quarter of both 2016 and 2017. On an adjusted basis, operating income for the first quarter was $48.2 million compared with $47.5 million in the same quarter last year.Total net sales fell 5.5 percent to $782.9 million with retail segment net sales down 5.3 percent due primarily to the impact of last year's store closures as well as comparable sales declines.The first-quarter results include $17.2 million in one-time charges, of which $2.6 million are non-cash costs, to terminate the tuxedo rental license agreement with Macy's.By segment, comp sales at Men’s Wearhouse declined 3.1 percent while at K&G they fell 7.4 percent and at Moores 5.3 percent. Net sales for the corporate apparel segment fell 8 percent, due primarily to unfavorable currency fluctuations.The picture was brighter for the Jos. A. Bank division in the period, where comparable store sales rose 3.5 percent.In a conference call following the earnings release, chief executive officer Doug Ewert said the company saw “good growth from existing customers” at Jos. A. Bank, and indicated that those who were “turned off by extreme promotions are coming back.” He pointed to dress shirts as among the strongest performers.Ewert said the custom business has proven to be a shining light for the company overall. Although he declined to say how much of the total mix custom represents, he said it accounted for 15 percent of the total retail sales at the top 50 Men’s Wearhouse stores that carry that merchandise. “Custom is a big growth opportunity for us,” he said.Overall, Ewert said, "We are gaining traction on our initiatives of engaging more customers across all channels, strengthening our omnichannel experience and increasing sales of custom clothing. We are committed to a balanced approach of investing in the business while maintaining discipline in our management of inventory, expense and capital, and finding opportunities to unlock additional cash flow."The wind down of the tuxedo rental partnership with Macy’s is expected to be completed in the second quarter, he added, saying the move will allow the company to “focus on our rental business at Men's Wearhouse, Jos. A. Bank and Moores.”In addition, the retailer will close another 20 stores in the period, up from an initial expectation of 10 stores. The additional units slated to be shuttered are Jos. A. Bank stores whose leases are up for renewal.The company also reaffirmed its outlook for fiscal 2017 where diluted earnings per share are expected to be in the range of $1.37 to $1.67, and adjusted diluted EPS $1.60 to $1.90. Additionally, it expects comparable-store sales for Men’s Wearhouse to be down in the low-single digits, Jos. A. Bank to increase mid-single digits, and Moores and K&G to be down mid-single digits.The company's stock closed at $11.22, up 61 cents, or 5.75 percent, on the New York Stock Exchange Wednesday, prior to results being released.
Supermodel @helenachristensen teamed up with longtime friend and designer @camillastaerk on a joint @paredeyewear collaboration. The lineup features three styles and 11 offerings, all of which embody a vintage feel. Get all the details on how they celebrated the collab on WWD.com. #wwdaccessories #wwdeye (📷: @slovekinpics)
“It’s a hard industry to keep motivated, as well, so finding different subjects and people is what makes it worth it – when you’re like, oh, I’ve met great people, I feel like I’ve done something good, and I feel proud of having done this,” said French actress Stacy Martin on being grateful for the variety of roles she’s take on. Read @ktauer’s full interview with Martin on her her latest film “Godard Mon Amour.” #wwdeye (📷: @danieldorsa)
After showing in front of the Eiffel Tower for his last two women’s ready-to-wear collection, it looks like @anthonyvaccarello may be heading to the Big Apple. Sources say the designer will stage his next @ysl show in NYC on June 6. Get all the details on WWD.com. #wwdnews #wwdfashion (📷: @aitorrosasphoto)
EXCLUSIVE: Two and half months after John Targon, cofounder and codesigner of Baja East, was hired as creative director of the contemporary division at Marc Jacobs, he has left the company, WWD has learned. Marc Jacobs International, which is owned by LVMH Moët Hennessy Louis Vuitton, confirmed Targon’s departure in a statement: “John Targon is a talented designer and we appreciate the work he has done here. Ultimately working together did not make sense for the brand and we wish him the best.” Read the story by @jessiredale, link in bio. #wwdnews
@theluxurycollection is officially launching a collection, tapping Sofia Sanchez de Betak for the capsule. Over 30 styles will be featured in the Chufy x The Luxury Collection, debuting next month at Bergdorf Goodman, The Webster, FiveStory and more. De Betak, known as “@chufy,” drew inspiration for the collection from her trips to Japan in the past year #wwdfashion
@lhd, founder and CEO of @thewebster, has teamed up with @lebonmarcherivegauche for the European launch of her ready-to-wear line, LHD. The launch will come with an exclusive pop-up opening today that’s set to run through May 20. Located on the second floor, it carries her debut Miami-themed resort collection, launched in November as see-now-buy-now. #wwdfashion