Bebe's Quarterly Earnings Up
Bebe Stores Inc. reported a 10 percent increase for its second quarter earnings during a recent conference call with retail analysts. Net sales for Bebe’s second quarter of fiscal 2006, which ended Dec. 31, 2005, were $167.9 million, 10 percent higher than $152.6 million for the second quarter of 2005.
Gregory Scott, Bebe’s chief executive, acknowledged that the Brisbane, Calif.–based company may have missed trends during the Holiday season. Scott conceded the company hit some bumpy terrain during Christmas. “We may not have shown enough newness,” he said. Scott says the company is turning business around for its third quarter and will be opening new stores and debuting new lines.
Sales of Spring 2006 fashions picked up the pace of January sales at Bebe, Scott said. The January hire of Donna Perez, the new general merchandise manager, also will push sales forward, according to the CEO.
Bebe will build 35 new stores, and expand 16 existing stores during fiscal 2006. In March, the company will debut an eyewear line for Bebe and a new sportswear line for Bebe Sport. The company also plans to expand its offerings of accessories such as shoes and handbags. —Andrew Asch
