• Home
  • V1
  • Apparel
  • Uplifting incomes boost Index

Uplifting incomes boost Index

By FashionUnited

loading...

Scroll down to read more

Fuelled by the last corporate releases and a prospective new year, the FashionUnited Top 100

Index reached 1202.3 on Tuesday, rising by 3.2 points. This advance located the apparel index in front of the main other international indexes such as the Dow Jones, Hang Seng or EUFTSE 500.

Just one week ahead to its longed waited Lanvin collaboration, H&M was slightly downing yesterday, by -0.2%. However, the Swedish retailer is confident after just publishing its October sales, which in local currencies including VAT increased by 13 per cent compared to the same month previous year. In comparable units sales increased by 3 percent. Also they are seen in successful expansion, with a total number of stores amounting to 2,143 on 31 October 2010 versus 1,925 on 31 October 2009.

In USA, Aeropostale just walked through the recession as if it never happened, yet the market is still betting against the stock; income grew at 54.1% over the last four quarters, and is expected to grow by another 4.5% in 2011.... which is likely to be upped as time moves on. In the meantime, while it's still not profitable on a trailing twelve-month basis, Jones Apparel Group may be an opportunity.... especially after JNY shares tumbled from $20 to $13 over the last month.

Saks Inc.'s net income was $36.3 million, or 20 cents per share. That compares with $6.3 million, or 4 cents per share, in the same period last year. Sales rose to $658.8 million from $631.4 million a year earlier. Selling more items at full price and controlling inventory helped boost profits, the company said. With this strategy, Saks expects sales to rise by a percentage in the mid-single digits in the fourth quarter but for now, it would have to cope with a drop of -1.38% in the stock market.

Together with Saks, there were more USA-based companies to be found at the losers chapter. The most significant one allegedly was American Apparel, whose sales have slumped as it faces ongoing debt problems, and a couple of days ago said it expects a loss from operations in 2010 and warned it may not be in compliance with a covenant required by a key lender beginning next year. This little promising scenario drawn its shares down by 1.64%.

FashionUnited