US: Ascena Retail Q3 net income down on acquisition costs
Ascena Retail Group saw third-quarter net income decline on the back of charges relating to its acquisition of Charming Shoppes.
The US retailer, which operates the dressbarn, maurices and Justice brands, said yesterday that net income fell 4.6% to US$49.4m, which it said was entirely attributable to the $6.8m in costs relating to the pending acquisition of Charming Shoppes.
Net sales increased 8% over the quarter to $783.3m, which the company attributed to a 5% increase in comparable store sales, combined with strong sales in new stores and e-commerce. E-commerce sales increased 55% to $36m.
Dressbarn reported a 6% comparable store sales rise, Justice recorded an 8% increase, while Maurices saw comparable store sales decline 1% over the quarter.
"Our overall financial performance in the quarter was in-line with expectations and reflects the continued challenging marketplace for retailers and consumers," said president and CEO David Jaffe.
"Our ability to perform well despite these pressures validates the strength of our product, the loyalty of our customers and our strategy to build a compelling, diversified business. We are gratified and excited to powerfully move this strategy forward with the anticipated addition of Charming Shoppes to the Ascena portfolio of brands."
Women's wear retailer Christopher & Banks has appointed former Payless ShoeSource chief executive LuAnn Via as its new president and CEO....
Teen retailer The Wet Seal has appointed Lynda Davey as chairman following the resignation of Hal Kahn and three other directors. ...
Teen fashion retailer The Wet Seal Inc is has urged its shareholders to reject efforts by dissident investor Clinton Group to replace experienced board members - and says it has taken "positive steps"...
Ascena Retail Group has posted a notable surge in fourth quarter adjusted net profit as the company absorbed its recent acquisition of apparel retailer Charming Shoppes....
- MYANMAR SNAPSHOT: Textile and apparel industry
- Alliance members buy more products from Bangladesh
- Clothing seen as central focus for new Tesco CEO
- ANALYSIS: New pricing strategy pays off for Nike
- Indian apparel exporters discuss policy changes
- Crystal Group improves worker communication
- TIMELINE: Charney ousting from American Apparel
- Columbia Sportswear fined for mislabelled clothing
- “Made in USA” company rapped for deceptive claims
- VF Corp books "solid" Q2 performance
- Global market review of denim and jeanswear – forecasts to 2020
- Ethiopia – the emerging textile and clothing industry
- Management briefing: Sourcing shifts: Changes and challenges
- Plunkett's Apparel & Textiles Industry Almanac 2014: Apparel & Textiles Industry Market Research, Statistics, Trends & Leading Companies
- American Eagle Outfitters, Inc. : Reacting to a need for change