Finance & Capital Management

A decrease in same-store sales in the consumer electronics and computing and wireless categories at Hhgregg, partially offset by an increase in the appliance and home products categories, resulted in a comparable-store sales decrease of 6.2% for the second quarter ended Sept. 30.

The appliance category comparable-store sales increase was driven by an increase in the average selling price. The home products category comparable-store sales increase was primarily a result of sales from the introduction of furniture and fitness equipment.

Revlon has appointed former Colomer Group executive Lorenzo Delpani as the company’s president and CEO.

Delpani replaces David Kennedy, who served briefly as Revlon’s interim CEO since the recent departure of CEO Alan Ennis, who left the company to “pursue other interests.” Kennedy will continue to serve as Revlon’s vice chairman.

Rite Aid's same-store sales increased by 2.1% this month compared with October 2012. The pharmacy chain also issued an estimate of the negative effects of Hurricane Sandy on its sales.

The increase included a 0.6% decrease in front-end same-store sales and an increase in pharmacy same-store sales of 3.4%, which were lowered by 0.85% due to introductions of new generic drugs. Same-store script count increased by 1.1%. Total sales for the month were $1.961 billion, a 2.2% increase over October 2012. The chain currently operates 4,599 stores.

Restoration Hardware has appointed Katie Mitic to its board of directors. Mitic, who will also serve on the board’s audit committee, has nearly 20 years of strategic product, marketing and business development experience.

“We are thrilled to have Katie join RH’s board. Her entrepreneurial mindset and digital expertise will be invaluable as we continue to evolve and enhance the ways in which we connect with our customers,” said Gary Friedman, chairman, creator, curator, and co-CEO.

Seattle -- Starbucks Coffee Company on Wednesday reported a better-then-expected 34% rise in its fiscal fourth-quarter and raised its quarterly dividend 24%. The company earned $481.1 million, up from $359 million a year ago.

Total net revenues increased 13% to $3.8 billion, just short of expectations.

Global same-store sales increased 7%, driven by a 5% increase in traffic. Same-store sales were up 8% in the United States and the Americas and 8% in China/Asia Pacific region.

Seattle -- Nordstrom announced that it plans to open a Nordstrom Rack at Gateway Center in Brooklyn, N.Y. The approximately 33,000-sq.-ft. store is scheduled to open in fall 2014. Gateway Center is owned and managed by Related Companies.  

When it opens, the Gateway Center Nordstrom Rack will be the company's second Brooklyn location. The first Brooklyn Rack is set to open on Fulton Street in spring 2014.

New York -- Bloomingdale’s longtime chief executive and chairman, Michael Gould, 70, is stepping down after 22 years on the job. He will be succeeded by Tony Spring, 48, currently Bloomingdale’s president and COO, effective Feb. 1, 2014. A successor to Spring as president of Bloomingdale’s is expected to be named in 2014.

By James McCandless and Kenneth Katz,  X Team International

The recent government shutdown has analysts scrambling to determine how much damage was done to the national economy. From a retail perspective, understanding the scale and scope of the shutdown requires a more thorough understanding of the issues at play; including a closer look at how retailers responded and a breakdown of how the lingering effects of the partial government closure may impact the holiday sales season.

The ripple effect on retail

Washington, D.C. – Retail sales fell in September for the first time in six months, but the decline was credited to a drop-off in auto purchases. Most U.S. retail sectors experienced broad sales gains during the month, according to the National Retail, which reported that,  excluding automobiles, gas stations and restaurants, retail sales grew a seasonally 0.6% compared to the previous month and 3.8% unadjusted compared to the prior year.

Results of specific sectors include:

New York – The Jones Group Inc’s net income rose a better-than-expected 67% in the third quarter, increasing to $28.3 million from $17.8 million.

However, revenues in the quarter ended Oct. 5 fell about 1%, to $1.02 billion from $1.03 billion.