J.Crew Group
Madewell, the more successful, younger sibling of preppy retailer J.Crew, helped the company narrow its net loss from $13.6 million to $8.6 million in its second quarter ended July 30. Total revenues for J.Crew Group decreased 4 percent to $569.8 million, down from $593.6 million a year ago, as comparable sales declined 8 percent. J.Crew comps fell at a slower rate than last year (down 9 percent versus a 13 percent drop in Q2 2015), while sales slipped 6 percent to $476.7 million. At the same time, Madewell sales rose 15 percent to $78.3 million, as comps increased 3 percent, a slight slowdown from last year’s 8 percent growth.
Lands’ End
Lands’ End (LE) is still struggling to separate itself from former owner Sears’ troubles. The specialty retailer said Thursday that net revenue in its second quarter ended July 29 was $292 million, down from $312.4 million a year ago, as sales in its retail segment decreased 4.3% to $45.5 million. This was primarily driven by a 2.5% decline in same-store sales and a reduction in the number of Lands’ End Shops at Sears. In addition, direct segment sales—which make up roughly 84 percent of the company’s revenue—decreased 6.9% to $246.4 million. CEO Federica Marchionni cited fewer markdowns and more targeted promotions that featured less discounting as the reason for soft sales. As such, Lands’ End swung to a loss of $2 million in Q2, compared to a $7.5 million profit last year.
Oxford Industries
Oxford Industries has Tommy Bahama to thank for a turnaround in its second quarter ended July 30, as the company bounced back from last year’s loss of $2 million to a profit of $23.9 million, or $1.44 per diluted share, and consolidated net sales increased 13 percent to $283 million. Comparable store sales rose 7 percent at Tommy Bahama, but decreased 1 percent at Lilly Pulitzer. Southern Tide, which was acquired on Apr. 19 and can be found at more than 850 specialty stores, had net sales of $9.2 million. Meanwhile, Lanier Apparel, which designs, markets and produces men’s dress and casual apparel, recorded a decrease in net sales from $20.7 million to $19.5 million.
L Brands
As the summer season started to wind down in August, so did sales at Victoria’s Secret. The lingerie retailer reported no comparable sales growth last month, compared to a 5 percent increase a year ago. At the same time, comps at Bath & Body Works rose 7 percent in August, helping parent L Brands (LB) to post a 2 percent increase in same-store sales. To that end, the company reported a 3 percent increase in net sales of $852.9 million, compared to $826 million a year ago. L Brands stock fell 1.26% in early trading Thursday and it’s down 19.63% year-to-date.