Fashion World updates

Vince Reports Strong Third Quarter

Women's Wear Daily -

Vince, continuing to show progress in its turnaround, practically doubled its net profit for the third quarter, raised its guidance for the year, and plans to open a store next year opposite Saks Fifth Avenue. The company posted a net profit of $6.8 million, or 57 cents per diluted share for the quarter ended Nov. 3, from $3.5 million a year ago, or 41 cents per share. Net sales in the quarter increased 5.6 percent to $83.5 million from $79.1 million a year ago. Comparable retail sales grew 14.1 percent and direct-to-consumer sales rose 17.1 percent. Wholesale sales were flat at $53 million, largely due to a narrowing of its department store distribution to focus on Nordstrom and Neiman Marcus which was offset by lower sales allowances. Gross margin rate increased 250 basis points to 48.9 percent. Operating income increased 68.9 percent to $9 million. “Our third-quarter results reflect continued strength across several areas of our business,” said chief executive officer Brendan Hoffman. “Our retail segment delivered a 14.1 percent comp with continued momentum in our e-commerce business while in our wholesale segment, we saw continued strength in our department store doors with higher sell-through rates and further market share gains. “During the third quarter,

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