Finance & Capital Management

PetSmart CEO David Lenhardt was joined by Lt. Governor Jim Cawley of the Commonwealth of Pennsylvania and Congressman Charlie Dent (PA-15) at the grand opening of PetSmart’s new distribution center (DC) in Berks County, Pa.

This DC will bring an estimated 500 jobs to Berks County by the end of 2016. The 870,000-sq.-ft. facility will serve 25% of PetSmart’s stores in 11 states, handling and delivering consumables, hard goods and fish to 170 PetSmart stores in 2014 and more than 260 stores by 2015.

New York -- Toys “R” Us has launched a new strategy to drive future growth that includes a big emphasis on improving its in-store customer experience.

The nation’s largest toy retailer said it will update its existing stores to make them easier to shop, focusing on everything from the restrooms and lighting to the flooring and signage. It also is committed to reducing in-store clutter and improving in-stocks and checkout speed (slow checkouts registered as a big customer complaint in its research.).

New York -- Francesca’s, Maurices and tween/teen fave Five Below are in an expansion mode.

Francesca’s, based in Houston, will open about 85 stores this year, down slightly from 91 openings last year.   

New York -- By 2025, most retail lighting will be LED, or light-emitting diode, according to lighting expert Dr. Laura Priestwood Thompson, director of the TCU Center for Lighting Education, Texas Christian University.

“The majority of interior retail lighting in 2025 will be LED. This includes retrofitting and new construction,” Dr. Thompson told attendees as Chain Store Age’s 50th annual SPECS conference in Grapevine, Texas.

The Woodlands, Texas – Conn’s Inc. reported net income of $27.73 million in the fourth quarter of fiscal 2014, up 57% from $17.66 million in the same quarter the prior fiscal year. The retailer intends to open 15 to 20 new stores during fiscal 2015.

Net sales grew 45% to $301.63 million from $250.34 million, and same-store sales increase 33.4%. Conn’s said significant sales growth was reported across all major product categories during the quarter, and the company opened six new stores in that time.

Hamilton, Bermuda – Net income at Signet Jewelers grew 2% to $175.2 million in the fourth quarter of fiscal 2014, compared to $171.8 million in the fourth quarter of the preceding fiscal year. Net sales increased 3% to $1.56 billion from $1.51 billion and same-store sales increased 4%.

During the full fiscal year, net income grew 2% to $368 million from $359.9 million and net sales improved 3% to $4.21 billion from $3.98 billion. Same-store sales rose 4%.

Memphis, Tenn. – Fred’s Inc. reported a substantial 34.5% decrease in its net income during the fourth quarter of fiscal 2013, to $5.56 million from $8.49 million in the same quarter a year earlier. Net sales declined 7.2% to $495 million from $533.4 million, and same-store sales grew 0.1%.

Minneapolis – Senators John D. Rockefeller (D. - W.V.) and Richard Blumenthal (D. – Conn.) publicly criticized Target’s handling of its 2013 data breach during testimony by Target CFO John J. Mulligan in front of the Senate Commerce Committee, which Rockefeller chairs. The senators said that Target’s management did not pay attention to signals from its security software and that it is time for the retail industry to make changes.

Washington, D.C. – Consumer spending growth of 3.3% in the fourth quarter of 2013 helped drive a 2.6% increase in the U.S. gross domestic product (GDP). According to the third and final estimate from the Commerce Department, the price index for gross domestic purchases, which measures prices paid by U.S. residents, increased 1.5% in the fourth quarter.

Brentwood, Tenn. -- Tractor Supply Company is opening its 1,300th store, as the company continues to grow toward its stated opportunity of 2,100 domestic store locations. The 1,300th store, located in Bullhead City, Ariz., will celebrate its grand opening on March 29, 2014.