American Eagle Q2 profit more than doubles
Pittsburgh — American Eagle Outfitters’ second-quarter net income more than doubled to $19.7 million from $9.7 million in the year-ago period. The teen retailer credited the jump on increased revenue, growing online sales and fewer markdowns.
Revenue for the period ended July 30 rose 4 percent to $675.7 million from $651.5 million, surpassing Wall Street’s $652 million estimate. Same-store sales were flat compared with a 1% decline in the prior-year period.
Revenue for AEO Direct, which includes ae.com, aerie.com and 77kids.com, rose 16% on increased traffic and a higher conversion rate.
The chain said that increased cotton costs will likely squeeze its merchandise margin during the period.
Meijer thinks local with new Chicago store
GRAND RAPIDS, Mich. — Meijer announced that it has opened a new, smaller-format grocery store in the Chicago area. The 90,000 sq. ft. Meijer Marketplace store in Melrose Park, willfeature national and Meijer own brand grocery items, along with a full-service pharmacy offering a variety of national and Meijer brand health and beauty products, the company reported.
The Meijer Marketplace also will feature such key merchandise categories as electronics, seasonal items, toys, home, kitchen and bath items and a pet department, with numerous national brand products throughout the aisles. Meijer said it will also take the needs of the community into consideration when adjusting its product offerings.
Meijer’s efforts to engage the community also will include providing local customers with a tailored grocery shopping experience with fresh quality meats and produce, as well as a wide variety of deli, bakery and pantry items. The new Meijer store will include a targeted assortment of Hispanic produce, Italian deli meats, European cookies, a fresh sushi bar, and more than 40 varieties of Hispanic beer.
"Meijer is thrilled to bring our newest store concept to this great community," said Hank Meijer, co-chairman and CEO of the Grand Rapids, Mich.-based retailer. "Our team has worked very hard to bring the great Meijer experience to our new customers in the Melrose Park area, and we’re very proud to join this vibrant neighborhood."
Leading toymaker names new COO
MALIBU, Calif. — U.S. toymaker, Jakks Pacific announced the appointment of Jack McGrath as COO.
“Jack has demonstrated leadership throughout his years with the company, and his high level of experience and business acumen makes him the perfect choice to be our COO,” said Stephen Berman, president and CEO of Jakks Pacific. “He has immersed himself in all aspects of the company’s operations, has built and maintained strong relationships with our licensors, and has been instrumental in integrating the operations of the businesses during his dozen years with the company. Jack demonstrated ability to execute the strategic vision of management and the Board, and has been a key to our success in growing the company through acquisitions, strong licensed properties and our ability to create home-grown products.”
McGrath, a 15-year veteran of the toy industry, joined Jakks Pacific in 1999 as VP marketing and product development, and advanced to SVP operations in 2000 and then EVP operations in 2008.