Latest news with #salesdecline
Daily Mail
2 days ago
- Business
- Daily Mail
Botched expansion puts the boot into Dr Martens
Dr Martens is braced for a huge profit slump on Thursday as it reels from falling sales and a botched expansion in the US. The FTSE 250 firm, whose black leather boots were once beloved by punk rockers and skinheads, is predicted to report a pre-tax profit of £28 million for the year to March 31, 2025, 69 per cent down on a year ago. Sales are expected to have slipped to £794 million from £877 million in the latest blow to the firm, which since its high-profile float on the London Stock Exchange in early 2021 has seen its shares tank by 87 per cent. It presents a challenge to boss Ije Nwokorie, who replaced veteran retail chief Kenny Wilson in January. Wilson ran the firm for seven years before stepping down after five profit warnings. Dr Martens, which was founded in 1945 by German soldier Klaus Maertens, drew investors on hopes of a boom in demand, especially in the US. But a downturn in sales left warehouses overflowing with unsold stock. Dr Martens has embarked on a plan to slash £25 million from its costs by next year. And it is hoped that Nwokorie, who was previously the firm's brand director, will be able to drum up demand. Last week the firm also said it had appointed Paul Zadoff, a former Nike executive, to lead its business in the Americas.
Yahoo
2 days ago
- Business
- Yahoo
Blake Lively's Hair Care And Booze Reportedly Suffer Massive Sales Decline As Legal Battle Drags On
New reports claim that Blake Lively's products are suffering a notable drop in sales amid the controversy surrounding her legal dispute with actor Justin Baldoni. The businesses reportedly affected include Lively's haircare brand, Blake Brown, and her alcoholic beverage line, Betty Booze. Blake Brown allegedly saw a decline of up to 78% around the time she filed her sexual harassment lawsuit against Baldoni. Sales have reportedly declined even further since then, amid claims that Taylor Swift's fans, known as Swifties, are no longer interested in Blake Lively and her products. As the lawsuit between Blake Lively and Justin Baldoni continues to make headlines, the ripple effects appear to be taking a toll on Lively's entrepreneurial ventures. According to NewsNation, Lively previously stated in her original lawsuit against her "It Ends With Us" co-star that her haircare brand, Blake Brown, suffered "depressed retail sales by 56–78 percent." Those numbers have reportedly dropped even further recently, particularly at Target, the retail chain with which Lively is partnered. A Puck report claims the brand is projected to make "less than $15 million" in total sales in 2025, a steep decline from the $100 million it was reportedly worth. And while the initial decline was attributed to Lively's claim that Baldoni orchestrated a social media smear campaign against her, the recent downturn follows accusations from Baldoni's legal team that the actress attempted to "essentially blackmail" the pop star into publicly supporting her. Swift fans have reportedly viewed Lively's alleged actions as a reason to boycott her products, including her Betty Booze line. Besides Swifies distancing themselves from Lively's business ventures, Swift herself has also halted her relationship with her former best pal. "Their friendship has halted," a source told People Magazine earlier in the month. "Taylor wants no part in this drama." This comes after previous claims that the ongoing legal feud between Lively and Baldoni has not only left Swift "completely floored" but also "very upset." The singer's anger is also said to be fueled by her realization that Lively has been using her name to boost her own standing, and this has been happening for quite some time. "Taylor has been aware that Blake has been exploiting her name for a while now, but this subpoena takes it to a whole new level," a source told the Daily Mail. Amid the legal feud, other high-profile people within Lively and Swift's circle have distanced themselves from the actress. "No one that is close friends with Taylor continues to be in contact with Blake," an insider told the Daily Mail. Topping the list is Gigi Hadid, whose actions have reportedly been followed by British stars Cara Delevingne and Sophie Turner. "Cara is no longer friends with Blake, but there was no big fight or anything like that," the insider further remarked. "She hasn't talked to her in months and has no plans to, or to hang out." As for Turner, another insider shared that she and Lively were "never all that close," and even if they were, "no one in Taylor's crew has anything to do" with the actress anymore. "Taylor's friends, Sophie included, are so set on keeping in Taylor's good graces that they have no problem whatsoever on cutting ties with anyone who does Taylor dirty," the source said. Recently, Swift was subpoenaed by Justin Baldoni's legal team in connection with claims tied to his $400 million defamation countersuit against Lively. But before a deposition date could be set, Baldoni's lawyers withdrew the subpoena, freeing Swift from the obligation. Sources later claimed that the decision was made because the legal team had already obtained what they wanted from Swift. Allegedly, someone in Swift's inner circle handed over proof that Lively's legal team had "threatened to leak" private messages between the actress and Swift if the singer didn't publicly support her. That whistleblower was reportedly revealed to be Scott Swift, the singer's 73-year-old father. "Scott Swift did not want his daughter to be dragged into this any further, and he voluntarily gave up this information as part of a deal that would include [Baldoni's team] withdrawing their subpoena for Taylor," the insider informed the Daily Mail. Earlier this month, Lively made an appearance on Seth Meyers' late-night show, where she opened up about the emotional toll she has seemingly endured this year amid her court battle with Baldoni. Alluding to her ongoing legal battle, Lively told Meyers: "What I can say without going too into it is that this year has been the highest of highs and the lowest of lows in my life and I see so many women around afraid to speak, especially right now, afraid to share their experiences, and fear is by design." She continued, "It's what keeps us silent. But I also acknowledge that many people don't have the opportunity to speak." "So I do feel fortunate that I've been able to, and as a woman, you have the ability to use your voice - that's kept me strong and helped me in my belief and my fight for the world to be safer for women and girls. It's a pretty simple thing," Lively added, per the Daily Mail. 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
3 days ago
- Business
- Yahoo
Shoe Carnival Inc (SCVL) Q1 2025 Earnings Call Highlights: Navigating Challenges with Strategic ...
Net Sales: $277.7 million, a decline of 7.5% compared to last year. Net Income: $9.3 million or $0.34 per diluted share, down from $17.3 million or $0.63 per diluted share last year. Comparable Store Sales: Down 8.1% for the quarter. Shoe Station Sales Growth: Increased by 4.9% and was comp positive. Gross Profit Margin: 34.5%, down 110 basis points from last year. SG&A Expenses: $83.8 million, representing 30.2% of net sales, up 2.1 percentage points from last year. Cash and Cash Equivalents: $93 million, up over 30% compared to the end of Q1 last year. Inventory Levels: Increased by 4% compared to last year. Rebanner Initiative Investment: $10 million in capital expenditures during Q1, with a total expected investment of $30 million to $40 million for the year. Fiscal 2025 Outlook: Net sales of $1.15 billion to $1.23 billion, GAAP EPS of $1.60 to $2.10, and gross profit margins of 35% to 36%. Warning! GuruFocus has detected 4 Warning Signs with SCVL. Release Date: May 30, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Shoe Carnival Inc (NASDAQ:SCVL) reported first-quarter profits that outperformed expectations by approximately 10%. The company's rebanner expansion plans, particularly with Shoe Station, are delivering outstanding results, with Shoe Station achieving a 4.9% sales growth. Shoe Carnival Inc (NASDAQ:SCVL) maintains a debt-free balance sheet with expanded cash reserves, positioning it well for opportunistic buys and margin growth. The rebanner initiative has consistently yielded double-digit sales growth and accretive margins across diverse market types. Shoe Carnival Inc (NASDAQ:SCVL) is strategically maintaining elevated inventory levels to navigate marketplace uncertainties and ensure product availability during key seasons. Shoe Carnival Inc (NASDAQ:SCVL) experienced a 7.5% decline in net sales compared to the previous year, with comparable store sales down 8.1%. The Shoe Carnival banner saw a decline in sales, consistent with industry-wide challenges, with total sales declining 10%. The company anticipates continued challenges in achieving profitable sales growth in the near term due to external conditions and soft consumer confidence. The rebanner initiative, while promising, involves significant planned investments that have impacted near-term profitability. Shoe Carnival Inc (NASDAQ:SCVL) faces uncertainty regarding consumer sentiment, which could affect future sales performance, particularly during the back-to-school season. Q: With the decision to expand Shoe Station stores more quickly, is this due to outperformance and competitive positioning? How does private label exposure factor into this? A: Mark Worden, President and CEO, explained that Shoe Station is capturing new customers at an exciting rate due to unmet needs in the market, particularly in higher-end segments. The competitive set for Shoe Station is different from Shoe Carnival, focusing on premium brands and white space opportunities. Private label exposure is minimal and not a significant factor in the outperformance. Q: How instructive are the initial results from rebannered rural and lower-income locations for future performance? A: Mark Worden noted that early results are encouraging, with rebannered stores maintaining double-digit growth into their second year. The unique offering of Shoe Station, combining non-athletic and athletic products, is attracting customers in these areas, suggesting sustainable performance. Q: What is the expected impact of the rebanner initiative on next year's earnings? A: Patrick Edwards, CFO, stated that the P&L investment for rebannering has been accelerated, with costs expected to be incurred by the end of Q2 next year. While there will be additional costs beyond the previously disclosed $22 million to $27 million, the initiative is expected to support a two- to three-year payback period. Q: Can you provide more details on the Q2 guidance and expected comp performance? A: Mark Worden indicated that the guidance assumes similar comp expectations, with Shoe Carnival underperforming and Shoe Station continuing to outperform. The focus remains on maintaining strong performance at Shoe Station. Q: How are tariffs impacting your guidance and vendor pricing? A: Mark Worden expressed optimism about the tariff situation, noting that Shoe Carnival's position as a retailer without wholesale exposure provides a comparative advantage. The company has secured key products at favorable costs, and no significant cost or price changes have been observed that would impact guidance. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
Telegraph
5 days ago
- Business
- Telegraph
‘We've got Everest to climb' in Asda turnaround, admits boss
The chairman of Asda has admitted executives have 'Everest to climb' in turning around performance, as the supermarket revealed a fresh slump in sales. Allan Leighton, who took over late last year, said there was 'much more to do' to win customers back as the grocer recorded a 5.9pc sales decline in the first three months of the year. Asda's sales totalled £5bn in the period, excluding fuel. For the four months to the end of April, sales were down 3.1pc on a like-for-like basis. Mr Leighton, who had previously steered Asda in the late 90s, was brought back to kickstart the supermarket's turnaround drive following an extended period of decline. Earlier this year, he launched a price war against supermarket rivals, pledging to make Asda more competitive. As part of the push, Mr Leighton brought back Asda's price-cutting campaign Rollback. He is also spending more on improving the availability of products in stores and recruiting more staff on the shop floor. However, Mr Leighton has admitted the steps will result in a 'material hit' to profit. On Thursday, Mr Leighton said: 'I describe it as we've climbed Snowden – on availability, on price, we climbed Snowden. We're trying to get to Everest. 'On availability and on price, we have to keep going, and we'll go again until we get to the top of Everest.' The Asda chairman rejected the suggestion that the supermarket needed to move faster, saying efforts would 'go at the same pace'. He added: 'There's real progress but there's a long way to go.' Asda's latest results come just hours after figures from market research company Kantar revealed the supermarket was struggling to win back customers. Market share fell to 12.1pc in the 12 weeks to May 18, which was Asda's lowest figure since Kantar started collecting data in 2011.
The Independent
5 days ago
- Automotive
- The Independent
Tesla warned of three big issues amid falling sales - despite share price climbing 25% in a month
Elon Musk and Tesla have been warned by a former car manufacturer chief executive of three key problems facing them at present as sales continue to slide - with the electric vehicle manufacturer's own boss being one of them. Tesla sales across Europe fell by almost half (49 per cent) last month compared to a year ago, to just over 7,000 vehicles, despite EV sales as a whole continuing to rise. Tesla now have just a 0.7 per cent share of the market in Europe according to European Automobile Manufacturers Association data. Speaking on BBC Radio's Today programme, Andy Palmer, former chief executive at Aston Martin, spoke on the issues facing Tesla - which suffered a fourth straight drop in monthly sales. 'They've fallen by about half and there are three things going on,' Mr Palmer said. 'One is the Tesla portfolio is getting relatively old - they do facelifts but haven't replaced their models and that plays into competitors, particularly the Chinese - big competition from the likes of BYD. 'And thirdly there's controversy around the CEO himself Elon Musk, certain amount of people protesting and not buying because of him - a bit of brand damage there.' Mr Palmer also suggested the dip in fortunes for Tesla may result in an opportunity for UK-based manufacturers, which would be a new issue to contend with for the US-based manufacturer. 'Car companies crave certainty and now we've got a clear trade agreement with the US, the EU and with Japan - there's stability in the UK market,' he said. 'While we didn't get away with no tariff, there is relatively low tariffs to each of those places and that's good news for the UK.' As part of his attempts to refocus on his corporate responsibilities following his work alongside the US government in DOGE, Mr Musk has not only promised Tesla shareholders he'll be focusing far more of his time on his companies, he has now said he'll be back to 'spending 24/7 at work and sleeping in conference/server/factory rooms'. Investors reacted positively when he initially promised to lower his DOGE related work, but Mr Musk has far more than just the car company on his plate. His net worth of $390bn (£289bn) is down more than $40bn this year, yet still comfortably places him as the richest person on the planet, according to Bloomberg. Among others, he also owns social media platform X, The Boring Company and SpaceX - which on Wednesday saw a third Starship test launch end in an out-of-control manner, when a rocket exploded. Dr David Whitehouse, former Science editor at the BBC, told Today: 'Problems are piling up for Musk's SpaceX, this is the third time things have gone wrong for super heavy booster starship. This is the third mission things have gone wrong.' SpaceX was valued at $350bn (£260bn) in December of last year, though as a private company that total is subject to change at indeterminate intervals, such as when investment is sought or the company buys shares from employees. Musk owned 42 per cent of the business at the end of last year, while investment firms Baillie Gifford and Sequoia Capital are among those to also hold stakes. But Tesla is a public listed company, which perhaps puts the greatest pressure on Musk to improve its fortunes. Despite a steep drop from $480 in December to below $225 in March and April, Tesla has rebounded to an extent since president Donald Trump announced his tariffs pause. A rise of 25 per cent over the past month sees the share price back to February levels but still down 11 per cent year to date - yet so much of Tesla's promise is on future events and sales, and not necessarily in EVs. Until those robotics, data and self-driving cars materialise as viable commercial drivers of growth, though, Tesla will need to refocus on earning back brand trust and car sales, particularly in Europe, to get matters fully back on track before competitors dominate the space it once led.
