Corporate Governance

Digital transformation is CEOs’ number one priority this year.   To make this a reality, chief executives are investing their capital in the Internet of Things (IoT), big data, robotics, and augmented reality, according to “CEO Viewpoint 2017: The Transformation of Retail,” a report from JDA Software Group and PwC.  

While RH continued to make investments to transform its business model, these efforts impacted the company’s preliminary fourth quarter earnings.   The furniture and housewares company, which officially changed its name from Restoration Hardware to RH last month, posted net income of $8.75 million, or 21 cents per share, for the quarter ended January 28, 2017. This was a drop from $33.3 million in fourth quarter 2015. Earnings, adjusted for non-recurring costs, came to 68 cents per share, beating analyst estimates of 65 cents per share.

Family Christian is going out of business.   The company said Thursday, Feb. 23 that it plans to close all 240 stores across 36 states, according to Reuters.    Family Christian filed for Chapter 11 bankruptcy in February 2015 with more than $120 million in debt. Since then, the chain continued to face a sales slump amid growing competition from online stores.  

J.C. Penney on Friday announced plans to close stores and reduce its workforce even as it reported its first profit since 2010.    In one of its deepest cuts to date, the retailer said it will close 130 to 140 stores, which represent about 13% to 14% of its total, 1,014 store base. The locations to be shuttered are unprofitable, Penney said, and generated less than 5% of total annual sales.     

2017 is just two months old, but we have already experienced what feels like a year’s worth of major store closing and liquidation announcements from national brands. This spike in store closings seems to have rattled retail industry professionals, and has gotten retail analysts and observers talking about big shifts – and thinking not only about what comes next, but how painful the transition might be in the meantime.  

Moody’s sees further department store 'rationalization' Bruised by weak fourth-quarter results, department stores are now planning more cautiously for 2017 as they re-evaluate how to compete in a rapidly changing retail environment,    Bartaco to make Texas debut at Trademark property Bartaco, an expanding food and beverage concept that combines beer, fresh-squeezed juices, and yes, tacos, will debut in Texas at Trademark Property’s WestBend development in Fort Worth.   The mixed-use facility just completed construction on its first phase, which includes office as well as retail space and aims to create a new hub of activity near the campus of Texas Christian University. It features new landscaping, gathering areas along the Trinity River and Trinity Trails, along with a rotating public art program. L Brands’ same-store sales flat, lowers 2017 outlook L Brands is preparing for steep losses in the near-future, specifically across its Victoria’s Secret brand.    For the quarter ended January 28, 2017, net sales were $4.489 billion, an increase of 2% compared to $4.395 billion for the quarter ended January 30, 2016. The company’s net income was $631.7 million compared to $636 million last year.   First Previous 1721 1722 1723 1724 1725 Next Last X This ad will auto-close in 10 seconds