Urban Outfitters Q3 profit up 17%
Philadelphia — Urban Outfitters recorded earnings of $73.1 million for the quarter ended Oct. 31, a 17% hike over the $62.4 million recorded in the prior year period, helped by higher sales and improved growth in comparable store net sales. Quarterly earnings were ahead of the analysts’ expectations, while sales came in short of the consensus.
Revenue rose 13.4% to $573.6 million, missing Wall Street estimates of $580 million.
Total same-store sales, which include direct-to-consumer channels, improved 6% for the quarter. Comparable sales in the store segment were up 1%.
Urban Outfitters operates 166 Urban Outfitters stores in the United States, Canada and Europe, catalogs and two websites; 150 Anthropologie stores in the United States, Canada and Europe, catalogs and two websites; Free People wholesale, which sells its product to approximately 1,400 specialty stores and select department stores; 38 Free People stores, catalogs and website; Leifsdottir wholesale, which sells its product to approximately 65 specialty stores and select department stores, and a Leifsdottir website and one Terrain garden center and website.
Saks profit surges in Q3
New York City — Saks reported Tuesday that its net income rose to $36.3 million for the quarter ended Oct. 30, up from $6.3 million in the year-ago period. Third-quarter 2010 results were helped by a surge in luxury spending and a $26.7 million gain related to income tax reversals.
Revenues rose to $658.8 million for the quarter, compared with $631.4 million the prior year. Same-store sales increased 5.7%.
“We feel much better about the overall tone of business and the way our customers are responding to our initiatives," said Steve Sadove, CEO, in a statement, while acknowledging the economic recovery remains tentative.
Saks’ flagship store on Manhattan’s Fifth Avenue, which accounts for about 10% of chainwide sales, produced strong results in the third quarter, boosted by spending by tourists and Wall Streeters.
The company currently operates 47 Saks Fifth Avenue stores, 58 Off 5th stores, and saks.com.
Sales and profits up at TJX
Framingham, Mass. — The TJX Cos.’ fiscal third-quarter earnings rose 7%, topping its own forecasts, as the discount retailer’s sales improved.
The company reported a better-than-expected profit of $372.3 million, up from $347.8 million in the year-ago period. Net sales rose 5% to $5.53 billion, from $5.24 billion. Same-store sales increased 1%.
"We were able to sustain last year’s significant increase in profit margin by continuing to run our business with lean inventories, which has led to additional improvement in merchandise margins," said president and CEO Carol Meyrowitz said. "Customer traffic continued to be up over large increases last year despite warm weather in September and October, which dampened demand for cold weather apparel."
TJX operates 919 T.J. Maxx, 832 Marshalls, 336 HomeGoods, and 161 A.J. Wright stores in the United States. In Canada, the company operates 212 Winners, 82 HomeSense and 3 Stylesense stores, and in Europe, 304 T.K. Maxx and 24 HomeSense stores.