US: Destination Maternity Q1 sales slide, adjusts FY guidance
Destination Maternity has booked a drop in first-quarter sales and adjusted its full-year earnings guidance to the lower end of its previous forecast.
The US maternity retailer saw sales slip to US$134.8m in the three months to the end of December, coming in at the lower end of its guidance range. This was a 0.3% drop on $135.3m reported in the prior year period.
The company blamed a comparable sales increase of 0.7%, which was also below the lower end of its guidance for an increase of between 1% to 4%. Nonetheless, it was the firm's sixth consecutive quarter of comparable sales increases, it added.
"In the first quarter of fiscal 2014, our sales were slightly weaker than planned, reflecting the continued challenging overall economic environment which affected many retailers in the recent holiday shopping season," said CEO Ed Krell.
Sales were also affected by the company's continued efforts to close underperforming stores, it added.
Destination Maternity expects its first quarter fiscal 2014 earnings to be in the lower half of its prior earnings guidance range and to be "somewhat higher" than last year's first quarter earnings, which were up 70% to $3.8m.
Destination Maternity Corporation has said it is working to "aggressively" manage its inventory and become more customer-focused and product-centric, after swinging to a loss in the fourth quarter....
Destination Maternity is to expand into Israel through an international franchise agreement with H&O Fashion Ltd, one of the country's most dominant fashion-retail chains....
- What the EU-Vietnam trade deal means for duties
- Ultimate frontier Myanmar uplifts Bogart Lingerie
- US apparel import growth led by Bangladesh
- Are apparel prices really rising?
- US apparel retailers' January 2016 sales roundup
- Sears looks to lift apparel via sourcing changes
- Direct sourcing helps M&S narrow the gap with Next
- Eco-friendly garment factory opens in Bangladesh
- Clothing and sports chains in activewear battle
- Nike accelerates digital strategy with new hire
- Southeast Asia strategic sourcing review – a focus on Cambodia, Vietnam and Myanmar
- Wearable technology: The future market potential for smart garments and e-textiles
- Global market review of denim and jeanswear – forecasts to 2021
- Practical Price Negotiation
- Wearable Technology Market by Product, Application, Type, & Geography - Global Forecast to 2020