Boot Barn backtracks on Q3 expectations
Warm weather, as well as layoffs in the oil and gas industry hindered sales Boot Barn during the holiday quarter.
Boot Barn announced preliminary results for the third quarter ended Dec. 26 as follows:
• Preliminary net sales increased 49% to approximately $194 million;
• Opened 5 new stores and completed the rebranding of 19 Sheplers stores;
• Preliminary same-store sales (which include e-commerce and Sheplers sales) declined approximately 2%, with Boot Barn and Sheplers performing similarly. This compares with previous third quarter guidance of positive low single digits;
• Preliminary adjusted net income per diluted share between $0.43 to $0.44, compared to previous guidance of $0.47 to $0.49.
“During the third quarter we faced increasing headwinds due to the softening of local economies dependent on oil and other commodities, and a challenging retail environment due to unseasonably warm weather in many of our markets," said Jim Conroy, CEO. "We also continued to integrate the newly acquired Sheplers business, which is now largely complete, and we feel very good about the acquisition. The Sheplers e-commerce business achieved solid growth for the quarter. The 19 rebranded stores were negative for the quarter as a result of disruption from remodeling construction, and cycling outsized promotional activity in the prior year period. These stores have turned positive post-Christmas, albeit later than we had anticipated. On a consolidated basis, our same store sales declined in October and November before improving to nearly flat in December. Fortunately, we managed our merchandise levels prudently, resulting in a healthy and clean inventory position as we entered the fourth quarter, which is off to a strong start in the first two weeks.”
Conroy continued: “We are pleased with the double digit growth we were able to achieve in our combined e-commerce channel. We also feel good about the overall Boot Barn concept as we have continued to experience strong same-store sales growth in many of our core markets without significant exposure to commodity prices, including California, Arizona and Nevada. Finally, we have continued to execute on our growth strategies, further expanding our store footprint, improving the merchandise margin at both Boot Barn and Sheplers stores and increasing our private brand penetration, while further solidifying our position as the largest omnichannel western and work wear retailer in the U.S.”
Inland acquires grocery-anchored Marketplace at Tech Center
Newport News, Va. — Inland Real Estate Income Trust announced the acquisition of the approximately 210,000-sq. ft. Marketplace at Tech Center, a newly constructed grocery-anchored power center, in Newport News, Virginia. Mark Cosenza, VP of Inland Real Estate Acquisitions facilitated the purchase of the property on behalf of Inland Income Trust.
“Marketplace at Tech Center is a terrific addition to Inland Income Trust’s retail portfolio because of its exceptional variety of high-caliber grocery, restaurant, clothing and retail offerings,” said Mitchell Sabshon, president and CEO of Inland Real Estate Investment Corporation. “With its diverse tenant mix, strong demographics and ideal location near major employers, including the Thomas Jefferson National Accelerator Facility, Marketplace at Tech Center is a dominant retail property in the market and is well positioned for future growth.”
Marketplace at Tech Center feature retailers include Whole Foods, Steinmart, DSW, Ulta Beauty, Five Below, BJ’s Brewhouse, Mattress Firm, AT&T and Massage Envy.
New York & Co. keeps momentum through holidays
New York & Co. was able to rise above headwinds from unseasonable weather during the holidays to an increase in same-store sales.
The company says same store sales increased 1.6% during the holiday period and that it expects same-store sales for the full quarter to increase in the low single-digit percentage, in line with the company’s previously disclosed guidance.
“We are pleased to continue our positive momentum anticipating the fourth consecutive quarter of positive comparable store sales growth with sales expected to be in line with our prior guidance," said Gregory Scott, New York & Company’s CEO. "However, we experienced softer demand for cold weather products due to unseasonably warm weather in the Northeast, Midwest and South. These pressures led to sales and margins that are expected to be at the lower end of our prior guidance. We were also pleased to see many positives in the quarter including the continued success of our celebrity collaborations, the expansion of our credit loyalty program to all-time highs, and the dramatic growth in e-commerce as we continue to benefit from our enhanced omnichannel capabilities.”
New York & Company, Inc. is a specialty retailer of women's fashion apparel and accessories. The Company operates 507 stores in 43 states.