June Same Store-Sales Surge, Limited Brands Crushes Expectations

Victoria's Secret

Photo: Victoria’s Secret

Retailers posted better than expected same-store sales for June.The 25 chains in Thomson Reuters Same-Store Sales Index were expected to rise 4.9% in June, from 3.1% a year ago.

Warm weather is reported to have boosted sales after a soft start to the second quarter last month. The healthy consumer demand comes ahead of the back-to-school shopping season.

Here are some names that crushed expectations (via CNBC):

  • Limited Brands had a 12% increase in same-store sales crushing expectations of 3.8% gain. Victoria’s Secret saw 17% growth, while Bath & Body Works grew 5%. 
  • Saks had an 11.9% increase in sales against expectations of 7%.
  • Kohl’s department store had a 7.5% increase in sales against projections of 2.9%.
  • Costco Wholesale Corp. posted 14% increase in June sales against expectations of 12.7%.
  • Target saw sales increase 4.5% against expectations of 3.2%. Net sales for the five weeks ending July 2 were $6.256 million up 5.7% from a year ago.
  • Macy’s posted 6.7% increase in sales against expectations of 5.1%. Macy’s raised its guidance for second quarter sales to 6%, against previous expectations of 4%. Sales growth came across the company from Macy’s and Bloomingdale’s stores and online retail sites.
  • Specialty apparel store Zumiez saw a 9.8% increase in June same-store sales against estimates of 5.6%.

Not all retailers did as well however:

  • Gap missed expectations with 1% sales growth compared with estimates of 2.3%.
  • Retail chain Hot Topic that specialises in pop-culture inspired clothing and accessories posted 0.4% increase in sales against expectations of 2.4%.
  • Department store Stein Mart posted 0.7% sales growth in June against estimates of 1.5%.

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