It was back to the extremes for retail in May as both the high-end and low performed well, but the middle suffered. Overall, comparable store sales increased 3.0% for the month, according to a preliminary tally of 37 retail-chain stores compiled by the International Council of Shopping Centers. However, a large chunk of the comps gain can be directly attributed to Wal-Mart. Excluding WMT from the numbers, comparable store sales grew only 1.4% for the month. Nonetheless, there were bright spots in the numbers. Weather was again called out as a key influencer for the weak results.
While the mercury was hovering close to 100 degrees on the east coast this week, the same could not be said for May. Weather Trends International described the month of May as the coldest in six years and wettest in four years. The month ended with the third greatest one-month drop in May national temperatures in 114 years. Not exactly good for shorts and Ts.
Lux retailers saw comparable store sales increase 4.1% for the month, according to the ICSC data, but not enough to offset weakness at the rest of the nations department stores. Discount and Wholesale clubs both saw comps rise for the month, but Apparel and Teen retailers both saw comparable store sales decline.
Retailers in general commented that the beginning of the governments tax rebate program is helping, but that they are still waiting for the bulk of the checks to hit this month and next.
Bobs Stores saw comparable store sales drop 14% for fiscal May, giving back the progress made on a 14% increase for the year-ago month. In a recorded statement, management said that especially tough weather in the Northeast hurt the chains results. For TJX Cos as a whole, comparable store sales increased 2% for the month with the benefit of currency exchange rates accounting for 1 percentage point of the gain.
Pacific Sunwear of California, Inc. reported sales decreased 2% in May to $86.9 million from $88.5 million. Comps were down 3%. Comps declined every week of the month with the weakest results coming from the desert Southwest, California, Florida and New England. Texas and the Midwest were called out as regions that performed well.
Apparel sales experienced a 10% comp increase and accounted for 80% of total comp sales. Juniors apparel comps were up mid-20s, driven by continued strength in Bullhead denim, tops and dresses, partially offset by weakness in swim and shorts. Young men's apparel comps were down just slightly, with strength in denim and tops offset by weakness in swim.
Accessory comps were down high-teens. Footwear comps were down mid-50s, as the company all but exits the business. Transactions per comp-store were down mid-low-single-digits, while the average transaction value per comp store was up low-single-digits.
As of May 31, Pacific Sunwear operated 818 PacSun stores and 122 PacSun Outlet stores.
Zumiez Inc. reported a 0.2% comparable store sales increase for the month of May. Net sales grew 14.7% to $26.0 million from $22.7 million. The company's comparable store sales increased 11.2% in the year ago period.
Comparable-store sales gains were driven by an increase in average unit retail, but were offset by a decrease in comp-store transactions.
Footwear and skate hardgoods were the primary drivers of the positive comps, somewhat offset by juniors and men's apparel, which comped negative.
The company ended the period with a store count of 309 stores, of which 250 were comp stores.
The Buckle, Inc. saw comparable store sales jump 34.7% for fiscal May. Net sales for the four-week fiscal month increased 44.1% to $50.8 million from net sales of $35.3 million for the prior year period.
On the men's side of the business, total sales for the month increased approximately 47% to $23.5 million from $16.1 million last year. Strong categories on the men's side included denim, woven and knit shirts and active apparel. For the fiscal month, overall price points on the men's side of the business were up approximately 10.5%.
On the women's side of the business, total sales increased approximately 41.5% for the month to $27.2 million from $19.2 million last year. Strong categories on the women's side included denim, knit tops, active apparel and accessories. For the fiscal month, overall price points on the women's side of the business were up approximately 8%.
Within the men's and women's categories combined, accessories sales for the fiscal month increased approximately 27.5% to $3.6 million, while footwear sales increased approximately 3.5% to $1.8 million. Average accessory price points were up approximately 1% but average footwear price points were down approximately 4.5% for the fiscal month.
Units per transaction were up slightly and average transaction value was up approximately 9% for the fiscal month.
As of the end of the fiscal month, overall inventory was up approximately 4%, but inventory on a comparable store basis was down approximately 2.5%. Total markdown inventory at the end of the period was down compared to the prior year, driven by a decrease in the 50%-off category.
With the opening of two new stores during the fiscal month, Buckle currently operates 376 retail stores in 39 states compared with 355 stores in 38 states.
