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

Apparel/Garments | On 28th Sep 2016

CMAI inks MoU with Chinese textile trade body CCCT

Indian apex clothing association, the Clothing Manufacturers...

Textiles | On 28th Sep 2016

India sees largest gain on WEF’s Competitiveness Index

India has shown the largest gain made by any country on the World...

Textiles | On 28th Sep 2016

Oerlikon to show new yarns and fibres at ITMA+CITME expo

The Oerlikon Manmade Fibers segment, the world market leader for...

Interviews View All

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer Prathyusha Garimella is known for blending...

Yash P. Kotak
Bombay Hemp Company

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

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

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
September 2016

September 2016

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

SUBSCRIBE


Browse Our Archives

GO


Advanced Search