Home / Knowledge / News / Apparel/Garments / New York & Co posts breakeven results in Q2FY15
New York & Co posts breakeven results in Q2FY15
26
Aug '14
New York & Company, Inc., a specialty apparel chain with 509 retail stores posted breakeven operating results with its operating profit slipping into black and also massively reducing its net loss in the second quarter ended August 2, 2014.

In-line with its previously issued guidance, operating income for the second fiscal quarter of 2014 totalled $0.2 million, a significant improvement of $2.4 million compared to the prior year’s second quarter operating loss of $2.2 million.

While, net loss for the second fiscal quarter of 2014 narrowed massively to $0.1 million, compared to net loss of $2.7 million, or a loss of $0.04 per diluted share, in the prior year quarter, what the fashion retailer termed – “essentially breakeven per diluted share”.

For the thirteen weeks to August 2, 2014, net sales rose to $226.1 million, from $223.1 million for the comparable quarter of the previous fiscal year, while comparable store sales increased 2.3%.

During the quarter under review, the apparel retailers’ ecommerce and outlet businesses continued to grow and together represented 20.6% of total sales versus 18.0% in the year-ago period.

Driven by improved product costs combined with reductions in buying and occupancy costs, gross profit as a percentage of net sales improved 50 basis points in the first quarter of 2014, versus the prior year period.

New York & Company said selling, general and administrative expenses as a percentage of net sales were effectively managed during the second quarter of 2014 and decreased 60 basis points compared to the prior year second quarter.

Total quarter-end inventory increased 3.0% as compared to the end of last year’s second quarter reflecting slightly lower levels of in-store inventory, offset by higher levels of in-transit inventory due to delays from its contingency plans related to a potential work stoppage at certain ports.

The retailer ended the quarter with $64.7 million of cash and no outstanding borrowings under its revolving credit facility.

Capital spending for the second quarter of 2014 reached $5.5 million, as compared to $4.0 million in last year’s second quarter, primarily reflecting the remodelling of four New York & Company stores, along with the opening of four new outlets.

Gregory Scott, New York & Company’s CEO, stated: “We delivered a solid second quarter with positive comparable store sales, gross margin expansion, and expense reduction which shows progress against the key priorities, we outlined at the beginning of the year.”

He added, “During the quarter, we experienced increases in average dollar sale, conversion, and average unit retail. This led to a breakeven performance, which represented a significant improvement over last year’s operating loss”.

Inthe second quarter of 2014, New York & Company opened four new outlet stores, remodelled four existing locations, and closed one store, ending with 509 stores, including 57 outlet stores, and 2.6 million selling square feet in operation.

Fibre2fashion News Desk - India

Must ReadView All

Courtesy: Li & Fung

Textiles | On 29th Mar 2017

Li & Fung introduces new 3-year plan 2017-2019

Li & Fung Limited has outlined its next Three-Year Plan (2017-2019)...

Courtesy: Carrington

Apparel/Garments | On 29th Mar 2017

Carrington Workwear signs JV with TMG Textiles

Carrington Workwear, one of the largest producers of workwear fabrics ...

Apparel/Garments | On 29th Mar 2017

Jabong launches Aeropostale on its platform

Jabong has added leading American high-street fashionwear brand,...

Interviews View All

Milind Khandwe
Hindoostan Innovation Centre

‘Modern technical textile is an indispensable tool for science and...

Hannah Lane
Redress

Encouragement from brands will motivate supply chains to become more...

Riddhika Shah
SS Homme

'Worsted wool is the ideal fabric for menswear'

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
March 2017

March 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search