logo-loader

Vince Holding rallies as luxury retailer’s quarterly net income nearly doubles

Last updated: 14:34 13 Dec 2018 EST, First published: 14:14 13 Dec 2018 EST

A view of a Vince store and shoppers
Vince said it signed a lease for a store in midtown Manhattan across from Rockefeller Center

Vince Holding Corp (NYSE:VNCE) rallied Thursday after reporting net income that almost doubled in the third quarter on retail growth and e-commerce business momentum.

The New York-based luxury retailer said in a press release that net income for the three months ended November 3 increased to $6.8 million, or $0.57 per diluted share, from $3.5 million, or $0.41, a year earlier. Net sales climbed to $83.5 million from $79.1 million.

Shares climbed 10% to US$11.19 in Thursday’s New York Stock Exchange trading.

READ: Vince Holding shares fall after 2Q loss on weakness in wholesale segment linked to overhaul of department store business

Same-store sales including e-commerce climbed more than 14%, buoyed by an increase in transactions, according to Vince. That gain was partially offset by a lower average unit retail related to product mix. The gross margin widened by 2.5 percentage points to 48.9%. 

“Our third-quarter results reflect continued strength across several areas of our business,” CEO Brendan Hoffman said in a statement.

The company said it opened two stores during the third quarter and signed a lease for a store in midtown Manhattan across from Rockefeller Center.

In September, Vince reported a second-quarter loss, citing weak wholesale sales linked to an overhaul of its store business. 

Established in 2002, Vince is a luxury brand whose apparel and accessories are inspired by its California origins. The company operates 45 full-price retail stores, 14 outlet stores and its e-commerce site, vince.com.

 

Contact Dennis Fitzgerald at dennis@proactiveinvestors.com

 

ARway.ai announces multiple new SaaS developer contracts in both the United...

ARway.ai (CSE:ARWY, OTCQB:ARWYF) Chief Executive Officer Evan Gappelberg joined Steve Darling from Proactive to announce multiple new SaaS developer sign-ups for its augmented reality experience platform, focusing on AR indoor navigation. These partnerships represent significant milestones in...

43 minutes ago