Kohl’s earnings, revenue miss expectations in Q1
Menomonee Falls, Wis. — Kohl’s Corp. missed Wall Street expectations for profits, revenue and same-store sales during a difficult first quarter. Net income, which had been expected to rise slightly, fell 15% to $125 million, from $147 million.
In addition, net sales declined 3% to $4.07 billion from $4.2 billion, while analysts had expected them to rise to $4.22 billion. Same-store sales, also expected to increase, fell 3.4%.
In February 2014, Kohl’s said it had become over-reliant on private label brands and would seek to rebalance its assortment with more third-party brands.
“We did not achieve our first quarter sales goals, but we were encouraged by the improvement in sales as the quarter progressed,” said Kevin Mansell, chairman, president and CEO. “Our teams managed our inventory levels appropriately and expenses were controlled throughout the organization during the quarter."
Earlier this week, reports surfaced that Mansell is planning a management shake-up.
Kohl’s also extended its current credit card agreement with Capital One for an additional five years until March 31, 2023.
Gold prices hurt DGSE in Q1
Dallas – DGSE Companies Inc. swung to a net loss of $523,000 from a net profit of $300,000 in first quarter 2014. The retailer cited significant decreases in both bullion and scrap sales resulting from a drop in gold prices as affecting its performance, which included a 32% drop in revenue to $19.9 million from $29.2 million.
DSGE has closed 23 stores since February 2014 and expects $3.7 million in non-recurring charges in 2014 as part of discontinued operations.
“In light of existing market realities, we took decisive action during the quarter to mitigate our losses in order to return the company’s continuing operations to profitability,” said Dusty Clem, chairman, president and CEO of DSGE. “Collectively, the 23 Southern Bullion locations we closed this year contributed approximately $1.9 million to our net losses for 2013. These closures allow us to return all of our attention to the 12 locations that can support the full exchange model which DGSE has successfully operated for decades. Moving forward, we continue to focus on building a more robust e-commerce platform and bolstering revenues in the higher-margin segments of our business, including our high-end jewelry, diamonds and watches.”
U.K.’s Orlebar Brown deploys NetSuite OneWorld; will use in U.S. expansion
London – U.K. swimwear and resort retailer Orlebar Brown has deployed NetSuite OneWorld to support its growth and continued global expansion.The company is leveraging NetSuite OneWorld’s capabilities for financial consolidation, tax compliance support, and multi-currency and multi-language support point-of-sale (POS) for its store in London’s Notting Hill area, and is also using the solution’s inventory management, order management and warehouse management to run its core mission-critical business processes.
With NetSuite OneWorld, Orlebar Brown has been able to streamline core business processes, improve operational efficiency and gain the agility and speed it needed to expand its business globally, growing revenue by more than 350%.
With Orlebar Brown’s Notting Hill location successfully running NetSuite POS, the company plans to roll out the solution to its other physical stores in the United Kingdom by the end of May.
"NetSuite has enabled us to quickly expand and grow our business. Consolidating all systems within one, centralized platform has freed up our retail managers and the financial department from having to devote significant time to running reports and data analysis. And because NetSuite is based in the cloud, our entire team can access and analyze data quickly and on the move," said Irfan Harris, finance director for Orlebar Brown.