Post by unlawflcombatnt on Jul 12, 2007 18:23:32 GMT -6
Measures of Retail Sales were not as bad as initially predicted. However, there were still more losers Than gainers. Even some of the surprise "gainers," like Wal-Mart, reported year-over-year sales increases that were less than the increase in inflation. Some of this is reported in the following excerpts from the Market Watch report titled June sales growth called 'moderate'.
By Jennifer Waters
"The slowing economy and higher prices for energy and food took their toll last month on consumers, leaving many of the nation's largest chain stores short of projected sales and on a track to miss their quarterly profit targets.
However, pockets of strength spelled a milder-than-expected tone to the results.
Macy's Inc., Gap Inc. and Ann Taylor all turned in sales receipts that came up short of Wall Street's expectations....
Overall, however, the results were tagged "moderate" by Michael Niemira, chief economist for the International Council of Shopping Centers.
With 45 retailers reporting, the industry organization was showing a 2.4% gain in same-store sales, the industry's key growth benchmark for measuring receipts rung up at stores open longer than a year...."
This 2.4% "gain" is -0.3% less than CPI-measured inflation. That puts the year-over-year change in "real" Retail Sales at -0.3%.
""The results were better than we feared," Niemira said, noting that Wal-Mart accounted for much of that unforeseen strength. "Beyond that, the themes were as expected" -- weakness in home-related merchandise and apparel sales driven by late-month discounting and promotions.
According to same-store sales estimates compiled by Thomson Financial, 53% of retailers reporting results had missed forecasts while 44% beat them. Only 2% were right on target....
At Wal-Mart, same-store sales came in at 2.4% gain....
at Macy's (Macy's inc com M ) , same-stores sales tumbled 2.7% compared with an expectations of a 0.8% decline. And the department-store chain is looking at July sales that will be flat to down 3%.
Accordingly, Macy's warned that second-quarter earnings would be in a range of 20 cents to 30 cents a share, not the 35 cents to 45 cents that it had been expecting.
Kohl's (KSS Kohl's Corporation KSS ) was a disappointment, with same-store sales backtracking by -4.9%, deeper than the minus-2.4% projected.
Dillard Department Stores (DDS Dillard Department Stores, Inc DDS ) same-store sales slipped 1%, slightly narrower than the 1.4% retreat expected....
J.C. Penney (JCP Penney (J.C.) Company, Inc JCP ) said same-store sales fell 1.5%....
At Gap Inc. (GPS The Gap, Inc GPS ) , total chain sales fell 5% compared with the 4.5% decline expected.
As for women's clothier, Ann Taylor (ANN Ann Taylor Stores Corporation ANN ) same-store sales stumbled 8.4% amid slow traffic into its stores and particular weakness at the Loft chain. Analysts were looking for sales to fall 4.8%."
By Jennifer Waters
"The slowing economy and higher prices for energy and food took their toll last month on consumers, leaving many of the nation's largest chain stores short of projected sales and on a track to miss their quarterly profit targets.
However, pockets of strength spelled a milder-than-expected tone to the results.
Macy's Inc., Gap Inc. and Ann Taylor all turned in sales receipts that came up short of Wall Street's expectations....
Overall, however, the results were tagged "moderate" by Michael Niemira, chief economist for the International Council of Shopping Centers.
With 45 retailers reporting, the industry organization was showing a 2.4% gain in same-store sales, the industry's key growth benchmark for measuring receipts rung up at stores open longer than a year...."
This 2.4% "gain" is -0.3% less than CPI-measured inflation. That puts the year-over-year change in "real" Retail Sales at -0.3%.
""The results were better than we feared," Niemira said, noting that Wal-Mart accounted for much of that unforeseen strength. "Beyond that, the themes were as expected" -- weakness in home-related merchandise and apparel sales driven by late-month discounting and promotions.
According to same-store sales estimates compiled by Thomson Financial, 53% of retailers reporting results had missed forecasts while 44% beat them. Only 2% were right on target....
At Wal-Mart, same-store sales came in at 2.4% gain....
at Macy's (Macy's inc com M ) , same-stores sales tumbled 2.7% compared with an expectations of a 0.8% decline. And the department-store chain is looking at July sales that will be flat to down 3%.
Accordingly, Macy's warned that second-quarter earnings would be in a range of 20 cents to 30 cents a share, not the 35 cents to 45 cents that it had been expecting.
Kohl's (KSS Kohl's Corporation KSS ) was a disappointment, with same-store sales backtracking by -4.9%, deeper than the minus-2.4% projected.
Dillard Department Stores (DDS Dillard Department Stores, Inc DDS ) same-store sales slipped 1%, slightly narrower than the 1.4% retreat expected....
J.C. Penney (JCP Penney (J.C.) Company, Inc JCP ) said same-store sales fell 1.5%....
At Gap Inc. (GPS The Gap, Inc GPS ) , total chain sales fell 5% compared with the 4.5% decline expected.
As for women's clothier, Ann Taylor (ANN Ann Taylor Stores Corporation ANN ) same-store sales stumbled 8.4% amid slow traffic into its stores and particular weakness at the Loft chain. Analysts were looking for sales to fall 4.8%."