Latest news with #StudioNicholson
Yahoo
14-05-2025
- Business
- Yahoo
As US, China Tariff Saga Takes Another Turn, Footwear Firms Are Bracing for Mid August: Here's Why
Footwear firms are digesting another twist and turn in Trump's trade negotiations following big moves by the U.S. and China to cut tariffs, at least temporarily. On Monday, the U.S. cut its tariffs on Chinese goods to 30 percent from 145 percent, while China went to 10 percent from 125 percent for U.S. products. Now the clock ticks anew with Aug. 14 as the new date to watch — also the end of the three-month freeze — when fashion and footwear firms need to get their goods on the water for the fall and holiday selling seasons. And while most items for back-to-school (BTS) need to ship before then for August sales, some goods for mid-to late September now get an extra week or two of breathing room on the shipping schedule. More from WWD Under Armour Moving in Right Direction Despite Still-challenging Results Shoe Prices Sank in April, the Sharpest Drop in 21 Months, Despite Uncertainty Around Tariffs Studio Nicholson Expands With Marylebone Store and Tmall Flagship So, who wins? 'Brands that have continued manufacturing and that have shipped containers of products to tax-free zones or bond warehouses are in great shape and will be capable of quickly pivoting to move product into the U.S. in time for back-to-school,' Coresight Research CEO Deborah Weinswig said. 'However, brands that pumped the brakes and hit pause on everything are going to need time and money to get people back to work and to get factories moving again.' For these brands, she noted that they may even incur added air freight costs to get goods into the U.S. in time for back-to-school. While the current freeze is temporary, the expectation is that continued talks over the next 90 days will lead to a new trade agreement between the two countries. The key footwear, fashion, and retail trade organizations — Footwear Distributors and Retailers of America, American Apparel and Footwear Association, National Retail Federation, and the Retail Industry and Leaders Association — saw the move as a step in the right direction, but also emphasized that the Trump administration had more work ahead to improve current trade policy. Wall Street analysts are keeping tabs too on the impact of the tariff pause, particularly because much of the footwear production is found primarily in China and Vietnam, followed by Indonesia and Cambodia. Earnings reports from Crocs Inc., Wolverine Worldwide Inc. and Steve Madden Ltd. last week saw the footwear firms pull their 2025 guidance due to the backdrop regarding uncertainties around tariffs. Wolverine's first quarter report indicated strength at its Saucony and Merrell brands. Given the firm's first quarter earnings and revenue beat and second quarter guidance in line with consensus, Williams Trading footwear and apparel analyst Sam Poser noted: 'We believe that Wolverine management would have raised its fiscal year 2025 guidance if they knew last week what they know today.' Poser noted that Wolverine will produce under 10 percent of its U.S. product in China this year, with China-sourced goods expected to be under five percent in fiscal year 2026. The Williams Trading analyst also upgraded shares of Steve Madden from 'Sell' to 'Hold,' with a price target of $31. Shares are currently trading in the $26 range. He noted that the reduced tariffs will ease pressure on Madden, specifically for some of its apparel production, and Kurt Geiger, the London-based brand acquisition that closed a week ago and still has about 80 percent sourcing out of China. Madden CEO Edward Rosenfeld said last week that the company moved aggressively to shift production out of China to Cambodia, Vietnam, Mexico and Brazil. But Poser also expects 'increased freight cost headwinds from shipments from Asia as the flow of goods and demand for containers increases due to the pause on China tariffs.' Two more companies on Tuesday reported quarterly earnings, On Holding AG and Under Armour Inc. Swiss athletic firm On posted a first quarter net income decline of 380 percent on a net sales gain of 43 percent, and raised its full-year 2025 net sales guidance, which incorporates the U.S. tariffs in place during the 90-day pause that was announced on Monday. Jefferies' Randal J. Konik has a 'hold' on shares of On. Footwear grew 41 percent in the quarter and apparel was up 93 percent. He noted that the company has built a solid business as a challenger brand in the athletic footwear market, achieving a 2 percent global share that's well above the industry growth rate. But as growth in footwear normalizes, the company's product breadth will need to expand, and the apparel line needs to show it can become much larger to move the market capitalization higher. Adjusting for tariff uncertainties, the company also lowered its gross margin expectation to between 60 percent to 60.5 percent from prior guidance of 60.5 percent. The company is looking to develop localized production capabilities to reduce reliance on regions affected by tariffs, Konik noted, adding that price increases in the U.S. on select items were on the agenda starting in July to 'maintain its premium positioning and offset costs.' On's co-CEO and CFO Martin Hoffman said during the company's earnings conference call that it continues to see 'strong consumer demand' for its products across all global markets. He said the pipeline in the second half has new product launches that include running product such as Cloudsurfer Max, Cloudflow 5 and Cloudboom Max. He spoke about tariffs and the impact on foreign exchange rates, and added that global trade policy shifts have added to planning uncertainty that includes the 'risk for increased tariffs and freight expenses, as well as general volatility within the global supply chain.' Under Armour reported a fourth quarter net loss of $67 million — the adjusted net loss was $35 million —for the period ended March 31, on a net sales decline of 11 percent to $1.2 billion. Both apparel and footwear revenue were down, falling 11 percent to $780 million and down 17 percent to $282 million, respectively. Accessories revenue was down 2 percent to $92 million. Cristina Fernández at Telsey Advisory Group said the early read on results were mixed, although the company did a 'good job reducing promotions.' She noted that the company needs to change the perception of the brand, attract more consumers and gain shelf space at wholesale accounts. BMO Capital Markets analyst Simeon Siegel said 'changes in tariff policy are not expected to significantly impact' Under Armour's first quarter ended June 30. Mitigation strategies include potential cost-sharing with key suppliers, diversifying sourcing, and reviewing targeted price adjustments to protect margins. Siegel said 30 percent of goods are sourced from Vietnam, 20 percent from Jordan, 15 percent from Indonesia and the balance spread across multiple countries. During Under Armour's earnings conference call on Tuesday, company president, CEO and founder Kevin Plank said the company's priorities for fall '25 include winning in apparel, unlocking the full potential in footwear, and strengthening its connection with women starting with essentials, such as bras and bottoms. Plank also spoke about the upcoming UA Halo collection, representing a premium expansion into 'next generation performance sportswear.' He said the UA Halo launch will begin with three distinct footwear offerings—trainer, runner and racer—with each designed to meet specific athlete needs. Best of WWD Mikey Madison's Elegant Red Carpet Shoe Style [PHOTOS] Julia Fox's Sleekest and Boldest Shoe Looks Over the Years [Photos] Crocs Collaborations From Celebrities & Big Brands You Should Know Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
31-01-2025
- Entertainment
- Yahoo
How a London brand succeeded in dressing everyone east of Old Street
If you've ever spotted a pair of slightly curved navy slacks cut awkwardly above the ankle anywhere east of Old Street (and, if you've ever been anywhere east of Old Street, then you almost certainly have), the chances are they were bought at Studio Nicholson. The brand was founded in Hackney by designer Nick Wakeman 15 years ago with a simple but strict premise: it would offer womenswear in a stern, neutral palette — 'darkest navy' remains the signature — with subtly off-beat silhouettes pinched from classic films ('specifically those from 1976 to 1996') and Japanese octogenarians ('I've got a thing for them'). Her intention? 'I just didn't want people to look like an idiot in it,' she says, deadpan. 'We're not really shouty. The clothes have to do the talking,' she continues, her ironed straight blonde hair brushing a plain black cardigan. 'It's not about marketing or puffball skirts, à la Jacquemus, the wally,' she says of the French designer with a penchant for going viral on Instagram. 'Just try these clothes on and see how you feel in them. I'm sure you'll love it.' Initially, Studio Nicholson (named after her great-grandmother 'Nanan' Nicholson) enjoyed success in Japan, before rocketing from strength to minimalist strength here. It expanded to menswear in 2017, opened a Soho flagship in 2021, branched out to Tokyo in 2023, launched hardwear-less handbags last year and only last month swung the doors open to its first east London outpost, on Redchurch Street. Artist Sarah Lucas and Rochelle Canteen's Margot Henderson are already regulars. Opening new stores does not faze Wakeman, 51, any more. 'We just opened our fourth store in South Korea, our second one in Tokyo, and another in Kyoto yesterday,' she says. A Marylebone location is also slated to open this side of summer. Expansion is rapid, then. 'When I started it, it was just me at my kitchen table and the possibilities were endless, but I couldn't afford to do any of them,' she says. 'Fifteen years later, the possibilities are still endless, but we can actually action them. That's the exciting part.' When we speak, though, she is recently off the Eurostar, having sold her wares to the menswear buyers of Paris Fashion Week. One eye is winking with tiredness. Did she enjoy herself? 'No,' she says, sharply. 'Let's face it, I've been doing it for about 28 years, so I'm done with it.' Wakeman has a head-on, fuss-free energy and a wry British wit — it's not hard to imagine her being an intimidating character to work for. When I relayed this to a friend after our conversation, they laughed. 'Have you seen the clothes? What did you expect her to be like?' They had a point. Studio Nicholson is to east Londoners and chic architects what The Row is to the Upper East Siders in New York — quiet luxury to the point of silence; androgynous garments that at first might seem unremarkable made spectacular by considered fabrication. Alongside the best dressed Brits, Jake Gyllenhaal, Julianne Moore and Cillian Murphy are all fans. On screen, the designs were a signature of the wardrobe of Lydia Tár, the steely conductor portrayed by Cate Blanchett in the 2022 film — 'she's quite a strong woman who wears the trousers' — and feature in Pedro Almodóvar's recent The Room Next Door. 'I think the directors are looking for something normal and classy when they use us, which I think we are,' says Wakeman. Unlike The Row, however, where blazers start at £3,000, Studio Nicholson is expensive but not wildly unattainable. It's sometimes likened to a bridge between Phoebe Philo's Céline and Cos, with jeans at about £200, jumpers £300 and jackets ranging from £350 to £1,000. Not for lack of quality. 'I prefer fabric to clothing,' says Wakeman, who studied textile design at Chelsea School of Arts after a childhood spent in Hampshire with her father, who ran a construction business, and mother, a self-taught seamstress who never let her dress in pink. 'Fabric is the key to making a successful garment. I don't think designers understand that.' Her relationships with factories in Italy and Japan are essential, and have been developed over more than two decades (in 1999 she founded her first label, Birdie, with Japanese label Beams, before selling it in 2007). 'They come to us, we work on exclusives, and we have a checklist of words we look for in a new fabric: is it spongy? Does it make you feel something? Is it shiny? Is the weave prominent?' They then produce them in typical Nicholson mid-tones ('bone grey', 'straw', 'feather', 'fossil' — these are just the men's trousers). While she doesn't rule out pops of brightness ('I actually quite like them,' she protests) Wakeman is affronted by vibrant colour blocking. 'Let's face it — no one's walking around in turquoise,' she says. 'I really can't work out who wears that sort of colour. Artists, maybe… It's very easy to get dressed if you've got a very tight palette. I don't know anyone that grey melange doesn't suit.' Her other style rule: keep it authentic. 'There's nothing worse than seeing a woman who can't walk in a pair of heels, or the skirt is suddenly over the knicker line — in the wrong way. It's just awful,' she says. These principles all equate to four female and six male 'drops' per year that do not tend to vary massively. 'We have similar pin-ups each time — Jeremy Irons is my number one — and then each collection we throw in a few extras; we had a bit of Mickey Rourke for spring 2025.' Instead, new territory comes with fresh categories. Fragrance will be next, for 2026, followed by homeware — but not sofas; 'more what you wear at home, because I don't wear my outdoor clothes indoors,' she says. After successful recent collaboration with shoemaker Paraboots, more are on the horizon, too: with bagmaker Porter-Yoshida in May, Macintosh in September and Asics later this year. 'I have a hungry CEO nipping at my heels every day,' she chuckles. So the steady burn of Studio Nicholson will not die down anytime soon. Oh, and Wakeman will not be leaving London either. 'It's home,' she says. 'I'm about to turn 52, where am I going to move now? No one wants to live in New York. I certainly don't want to live in Paris. I've toyed with the idea of living in Japan but London's got freedom, which lots of cities don't have,' she says. 'We're a bit naughty — that sort of suits me.' Studio Nicholson's spring 2025 drop available soon,
