Retail Sales Up for Many Retailers in February
Despite rising gasoline prices and unusually warm weather in many parts of the United States, consumers kept shopping at many apparel retailers in February.
Among the month’s winners were Everett, Wash.–based action-sports retailer Zumiez Inc. and Kearney, Neb.–based The Buckle Inc., which reported comp-store-sales increases of 14.2 percent and 14.8 percent, respectively, for February.
Off-pricers also fared well. Pleasanton, Calif.–based Ross Stores Inc. saw total sales increase 14 percent to $677 million in February and same-store sales increase 9 percent over the prior year. Framingham, Mass.–based The TJX Cos. Inc. saw total sales increase 12 percent to $1.6 billion and comp-store sales rise 9 percent in February.
Ross Stores Vice Chairman and Chief Executive Officer Michael Balmuth said the results were “well ahead” of expectations. “The month benefited from favorable weather throughout most of our markets that drove broad-based merchandise and geographic trends,” he said.
Carol Meyrowitz, TJX chief executive officer, also credited the weather for the boost. “We believe that very favorable weather patterns during the month helped boost demand for Spring apparel,” she said. “We are particularly pleased that traffic was up at all of our divisions, driving excellent performance across the board.”
February was also a good month for Macy’s Inc. and Saks Inc., which saw total sales grow 5.5 percent to $1.86 billion and 6 percent to $207.9 million, respectively. Macy’s reported same-store sales up 4.6 percent in February, which Terry J. Lundgren, Macy’s chairman, president and chief executive officer, credited to early Spring deliveries. “Our fiscal 2012 is off to a good start with February sales that exceeded our expectations,” he said. “We saw good consumer response to our early Spring deliveries in women’s apparel and continued strong trends in accessories, shoes, cosmetics, men’s and home, which bodes well for the months ahead.”
Things were not so rosy for Menomonee Falls, Wis.–based Kohl’s Corp., which reported a 1.1 percent increase in total sales to $1.17 million. Kohl’s comparable-store sales decreased 0.8 percent for the month. Kevin Mansell, Kohl’s chairman, president and chief executive officer, said the results were as expected. “From a regional perspective, the cold-weather regions—Midwest and Northeast—outperformed the company average for the month,” he said.
The Wet Seal Inc. also reported decreases for its Wet Seal and Arden B. chains in February. The Foothill Ranch, Calif.–based juniors chain reported a 3 percent drop in total sales to $46.7 million, as well as a
5.8 percent drop in same-store sales for both divisions. Individually, Wet Seal stores fared better, reporting a 0.5 percent decline in total sales to $40.5 million and a 4.3 percent drop in same-store sales. Arden B. reported a 16.8 percent drop in total sales to $6.2 million and a 14.3 percent drop in same-store sales.
Wet Seal CEO Susan McGalla said the results were “in line with … expectations,” adding that e-commerce sales dropped in February, as well. “For the month, e-commerce sales declined 24 percent as we continue our strategic efforts to transition to a higher penetration of full-price selling online and better align merchandising in this channel with our stores.”—Alison A. Nieder
