Things aren’t looking up for luxury retailer Neiman Marcus, which said Monday that sales at stores open at least a year as well as e-commerce fell 4.1% in its fourth quarter ended July 30. As such, total revenues decreased 3.3% to $1.13 billion, compared to $1.17 billion a year earlier, and the company’s net loss ballooned to $407.3 million versus $32.9 million last year.
In fiscal year 2016, Neiman Marcus recorded a net loss of $406.1 million, compared to a $14.9 million profit in the prior fiscal. The Dallas-based retailer, which operates 42 of its namesake stores as well as two Bergdorf Goodman locations, 29 Neiman Marcus Last Call clearance centers, 13 Last Call Studios and five Cusp stores, has laid off more than 500 employees in the last 12 months.
British fashion e-tailer Boohoo on Tuesday reported a massive 129% increase in pre-tax profit in the six months ended Aug. 31, achieving 67.1 million pounds ($87.2 million) versus 60.4 million pounds ($78.5 million) in the same period a year ago. Sales surged 40 percent to reach 127.3 million pounds ($165.4 million), with core womenswear ranges of dresses, tops, jackets and footwear performing strongly as well as the plus-size, petite, tall and lingerie collections. In addition, menswear sales at the end of the first half were double those at the start.
Revenue rose 38 percent in the U.K. and 41 percent in Europe, while the U.S. recorded a 93 percent increase in sales. In fact, Boohoo’s international business now represents 36 percent of the company’s total revenue. Looking ahead, the website will introduce childrenswear for ages 5 to 12 and a small maternity collection in the next six months.
House of Fraser
Chilly weather conditions in June and a summer-like September hurt House of Fraser’s profits in the first half of the year, which fell 46 percent from 9.2 million pounds ($11.9 million) to 5 million pounds ($6.5 million) in the six months ended July 30. The U.K. department store’s sales were flat versus last year, with total revenue reaching 573.5 million pounds ($744.5 million) and, excluding Virgin Travel, like-for-likes inched up 0.9%. Meanwhile, online comps increased 17.8% and e-commerce now represents 20.7% of total sales. Home was the strongest performing category, followed by menswear and beauty.