GoPro Goes- Public, That Is. A Look at the Final Prospectus

June 28th, 2014

As pretty much everybody knows, GoPro went public last Wednesday. How refreshing to see a company go public that’s actually making a product and money. GoPro sold 8.9 million shares of its class A common stock at $24 a share and raised a bit less than $200 million. $110 million will go right out the door to repay a line of credit they took out so they could pay a dividend to shareholders […]

Quiksilver’s Quarter: The Impact of Market Trends

June 9th, 2014

In the quarter ended April 30, Quiksilver’s revenue fell 10.4% from $456 to $408 million. The net loss grew from $32.4 to $53.1 million. Discontinued product lines contributed $9 million to revenue in last year’s quarter, but none in this year’s. A year ago, they also owned Mervin and the Hawk brand. I’m a little surprised they didn’t mention how much revenue those brands contributed a year ago.   I’ll spare you a long […]

Can the Golden State of Mind Take Hold? PacSun’s First Quarter

June 6th, 2014

Though PacSun still reported a loss in the quarter ended May 3, the income statement improved compared to the same quarter last year. Sales were up 2.9% from $166.4 to $171.1 million. The increase was the result of comparable store sales being up 3% compared to last year’s quarter. The average sales transaction was up 6%, though the number of transactions was down 3%. Ecommerce sales during the quarter grew 6% compared to last […]

“We’ll Go Anywhere Our Customers Give Us Permission to Go;” Zumiez’s Quarterly Report

May 29th, 2014

A few reports ago, I opined that while Zumiez owned the action sports space in the mall, the relatively small size of that niche and the evolution of the market to youth culture or fashion or whatever you want to call it was going to require Zumiez to move beyond it to achieve their growth plans.  During the conference call for the quarter ended May 3, an analyst asked, “…you […]

Skullcandy’s First Quarter: Signs That the Strategy is Taking Hold

May 27th, 2014

The improvement in Skull’s financials for the quarter ended March 31 is clear on both the income statement and balance sheet, though the company still reported a loss. You can see the 10Q here.  Skull, as you may recall, is focused on building the brand by aggressively reducing off price sales, being cautious with distribution, taking product development in house, and focusing on some specific niches. They’ve also, of course, managed their […]

SPY’s Results for the Quarter; Operating Income Rises, but Interest Expense is a Killer.

May 7th, 2014

As usual, SPY had the courtesy to file its 10Q with the SEC about the same time they did their conference call, making my job easier and my analysis more timely. You can see the 10Q here.  Sales for the quarter ended March 31 rose 2% from $9 to $9.2 million compared to the same quarter last year. In this market, I wouldn’t necessarily call 2% increase in revenue a bad result. Especially […]

The Buckle Annual Report: Less Online, More Brick and Mortar Focus?

May 5th, 2014

There’s a lot I like about The Buckle. I don’t find time to cover them every quarter, but whenever I visit one of their 450 stores, I am impressed with how they’ve merchandised their owned (34% of revenue) with purchased brands together.   My sense is that they give credibility to the brands they carry, not the other way around. Long time readers know I like that and believe it distinguishes good retailers.  […]

A & F’s Annual Report: Like Other Teen Retailers, But Not.

April 29th, 2014

As I just noted in my last post on Tilly’s and expect to note as I get to other retailers, the teen market is sort of lousy right now. People seem a bit perplexed as to why it’s fallen so hard, but I believe it’s as simple as a lack of money and jobs for teens. And I suppose I’d add a lack of product differentiation and very broad market with […]

More of the Same: Tilly’s Annual Report

April 21st, 2014

There is getting to be a certain sameness to all the reports I read from the retailers in our space. It’s not that Tilly’s has done anything bad, though their results aren’t good. It’s just that we seem to be in an environment where it’s hard to do something really distinguishing as a retailer.  Tilly’s store numbers have grown from 111 at January 30, 2010 to 195 when the latest fiscal year […]

PacSun’s Annual Report and Quarter: Improvement, But More Needed

April 9th, 2014

PacSun’s 2013 fiscal year ended February 1, 2014, and that’s the year we’re discussing here. You can review the 10K yourself here. I’d like to start with CEO Gary Schoenfeld’s mention in the conference call of the “…four key pillars of our overall strategy.” They are, he says:  “…our commitment to showcasing distinct brand identities derived from the best of brands that are inspired by the streets, the beaches, the skate parks, music, […]