PacSun swings to Q2 profit
Anaheim, Calif. — Pacific Sunwear of California Inc. reported fiscal second-quarter earnings of $7.5 million, in line with Wall Street estimates, compared to net loss of $19.2 million in the year ago period, helped by improved sales in its men’s division. But the teen apparel retailer forecast a wider-than-expected loss for the current quarter.
The company posted revenue of $211.7 million in the period, better than expected, up from million from $210.1 million last year.
“As previously indicated, sales trends improved as the quarter progressed led by continued growth in our Men’s business resulting in non-GAAP EPS at the higher end of our guidance,” said Gary H. Schoenfeld, president and CEO. “For Q3, even in the face of a down-trending denim cycle we are encouraged by the positive response to the balance of our initial fall assortments. We continue to believe that our core strategies are attracting new customers and differentiating PacSun in this very competitive market.”
The company ended the second quarter with 618 stores, down from 637 stores a year ago.
Golden Chick increases drive-thru traffic, sales with new NCR technology
Duluth, Ga. — NCR Corp. announced that Golden Chick, a Texas-based quick-service restaurant, has successfully piloted the NCR Drive-Thru Timer to help improve the customer experience and efficiency of its business.
The suite of NCR software and hardware integrates with a restaurant’s existing point of sale system to provide a digital display of real-time data on speed, accuracy and ticket averages to optimize drive-thru performance. The system was installed in two of its corporate-owned locations helping shift a percentage of its heavy in-store traffic to the fast drive-thru lanes, and since then sales have grown in those locations.
As it expands, Golden Chick needed to maintain the speed and accuracy that customers had grown to expect, particularly in the drive-thru. However, the chain lacked the real-time data necessary to identify areas for improvement and measure consistency to make the necessary improvements.
“The NCR Drive-thru Timer is a powerful technology that gives us real-time visibility into the operational efficiency of our drive-thru while providing us with the necessary metrics to make adjustments ‘on-the-fly’,” said Jay Tharian, new store coordinator at Golden Chick, which operates over 130 locations. “We are piloting the system in two of our locations and have seen a significant increase in ticket count, ticket average and sales. We intend to roll this solution out to several of our sites by the end of 2015.”
Drive-thru data is accessible at the store through easy-to-view displays for the crew and managers, while reports are available to management from any location via a Web interface.
Alco shareholders replace entire company board
Broad-line retailer Alco’s shareholders have replaced the company’s board of directors with seven new members, effective immediately. The elections were made at the company’s annual meeting of stockholders in Dallas late last week.
“The newly installed board would like to thank Royce Winsten and the departing directors for their years of service and dedication to Alco,” said Robert J. Sarlls, who has been elected to serve as the board's chairman. “Our directors are looking forward to working with the executive management team, the employees, and all Alco stakeholders, in putting the prior distractions of the company in the past. We look forward to working diligently and tirelessly to focus and prioritize the execution of the optimal operation plan to stabilize and improve the company's performance and increase shareholder value. The board's priority is to align shareholder, board of directors and stakeholder objectives.”
In addition to Sarlls, the newly elected directors of Alco are John M. Climaco, Stanley B. Latacha, William L. Lechtner, David W. Pointer, Dilip Singh and Mark Stolper.
The shareholders also ratified votes that reaffirmed Grant Thornton as the company's independent public accounting firm and rejected extension of the term of the amended and restated rights agreement.
Founded in 1901, Alco primarily serves small underserved communities across 23 states. The company has 198 Alco stores that offer both name brand and private label products.