MajorsJul 18, 2025
Lewis Heyman on Sourcing Gemstones, Post-Retirement PlansHe retired last month after 28 years traveling the world to source the very best gemstones for his family’s jewelry business, Oscar Heyman.
FinancialsNov 19, 2014
Earnings roundup: Chain store sales remain uneven
Third quarter sales were soft for major chain retailers, which are grappling with a lack of compelling product and continued competition from pure-play online retailers.
New York--Third quarter sales were soft for major chain retailers, which are grappling with a lack of compelling product and continued competition from pure-play online retailers.
A number of the country’s largest department store chains, including Macy’s and J.C. Penney, as well as discounters such as Walmart and Kohl’s reported their third quarter earnings in November, just as the all-important holiday season began.
Same-store sales were essentially flat or even down slightly across the board.
In the third quarter:
--The TJX Companies Inc. reported that same-store sales for its Marmaxx (Marshalls and T.J. Maxx) division in the U.S. were up 1 percent. Total sales increased 4 percent from $4.49 to $4.67 billion;
--U.S. same-store sales inched up 1 percent for Target Corp. while total sales also were up 1 percent, from $16.9 to $17.3 billion;
--Macy’s Inc. reported a 1 percent drop in both same-store and total sales, with CEO Terry Lundgren noting that “sales did not live up to our expectations in the quarter”;
--At J.C. Penney Co. Inc., comps were flat while total sales fell 1 percent from $2.78 billion to $2.76 billion. Fine jewelry, along with home goods, was listed as one of the retailer’s top-performing merchandise categories;
--Kohl’s Corp. saw same-store sales drop 2 percent while total sales were down by the same, declining from $4.44 billion to $4.37 billion; and
--Same-store sales for Walmart in the U.S. were up 1 percent (excluding fuel) while total sales (including fuel) rose 3 percent. Sam’s Club reported flat comps with total sales up 2 percent.
Howard Feller, a partner at MMG Advisors, an investment bank specializing in fashion and fashion-related mergers and acquisitions, said department store sales continued to experience an uneven sales cadence; stores will have a few strong weeks followed by an abysmal one.
Also not helping department stores in the third quarter was the release of Apple’s new iPhone, which steered many consumers’ discretionary dollars away from their products.
“The theme really for several months now--this trend dates back to early summer--is that business obviously has been down, but it’s been very choppy,” he said. “Choppy is still the word.”
Many consumers still lack the type of discretionary income needed to generate steady, robust sales at department stores. As a result, the retail environment continues to be very promotional, with suppliers bearing the brunt of the margin erosion in the retail supply chain.
This combined with increasing pressure on the supply side is squeezing suppliers in the middle. Feller said as a result, many suppliers are unable to generate the kind of quality, compelling product needed to attract customers today. As a result, they don’t come into the stores and sales remain stagnant.
“The problem tends to feed on itself,” Feller said. “It become its own virtual circle of declining sales.”
He said he anticipates the highly promotional environment will continue into the fourth quarter for the country’s major department store chains.
More on Financials
The Latest
TrendsJul 18, 2025
Piece of the Week: CCWW Designs’ Shell Charm NecklaceThe charm necklace features six nautical charms of shells and coral that founder Christina Puchi collected on Florida’s beaches.
MajorsJul 18, 2025
Plumb Club Elects New Board MembersThe organization elected its youngest vice president as it looks to draw in fresh talent.
Brought to you by
Investing in the Next Generation of Bench JewelersThe Seymour & Evelyn Holtzman Bench Scholarship from Jewelers of America returns for a second year.
TechnologyJul 18, 2025
Brad Campbell, John Liebler Join Clientbook’s Executive Team Campbell joins the company as vice president of business development while Liebler is the new vice president of operations.
Weekly QuizJul 17, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
CollectionsJul 17, 2025
2026 Winter Olympic Medal Design Symbolizes UnityThe medals feature a split-texture design highlighting the Games’ first time being hosted by two cities and the athletes’ journeys.
Supplier BulletinJul 17, 2025
The INSTORE Jewelry Show 2025: Your Holiday Preparations, All Wrapped Up! Sponsored by The INSTORE Jewelry Show 2025
Brought to you by
Jewelers of America is Headed to Las Vegas for JCK 2025The countdown is on for the JCK Las Vegas Show and JA is pulling out all the stops.
SurveysJul 17, 2025
The Most Recommended Brands in the World, According to YouGovGlobally, travel and transportation brands reigned, while in the U.S., alcoholic beverage companies and a lingerie brand took the top spots.
IndependentsJul 17, 2025
Gina Ferranti of GiGi Ferranti Jewelry Dies at 59The Brooklyn-based jewelry designer is remembered as a true artist and a rare talent.
SourcingJul 17, 2025
Rio Tinto Names New CEO, Production Rises at DiavikProduction at the mine in Canada’s Northwest Territories topped 1 million carats in Q2, the third consecutive quarter of growth.
Events & AwardsJul 17, 2025
JA to Hold Learning Workshops This FallA new slate of Learning Workshops will take place in Oklahoma, Mississippi, and Georgia.
SurveysJul 16, 2025
Signet Jewelers Falls Lower on NRF’s ‘Top 100’ Retailers ListThe middle class is changing its approach to buying jewelry and affordable luxury goods, the NRF said.
WatchesJul 16, 2025
The Top-Selling Rolex Models of the Last 15 Years, According to Bob’s Watches The reseller’s market trends report, based on its sales data, also shows exactly how much Rolex prices have jumped since 2010.
AuctionsJul 16, 2025
Christie’s To Honor Dinh Van With ExhibitionThe auction house will be hosting a retrospective paying tribute to jeweler Jean Dinh Van and his company’s 60th anniversary.
IndependentsJul 16, 2025
Clyde Duneier Ushers In Fourth GenerationJake Duneier and Danielle Duneier-Goldberg have stepped into the roles of CEO and president, respectively.
CollectionsJul 15, 2025
Boucheron’s New High Jewelry Calls Attention to Nature’s ImpermanenceThe “Impermanence” collection contemplates nature through the Japanese art of Ikebana (flower arranging) and philosophy of wabi-sabi.
MajorsJul 15, 2025
James Avery Expands to 2 More StatesThe Texas-based jewelry retailer has set up shop in Tennessee and Arizona.
Events & AwardsJul 15, 2025
Neiman Marcus Vet Joins Couture as Brand Director Eric Ford will step into the role, bringing with him decades of experience.
MajorsJul 15, 2025
Ben Bridge Jeweler Acquires Olympic ManufacturingIn addition to improved capabilities, the acquisition will allow the jeweler to offer support to other independent jewelers.
CollectionsJul 15, 2025
Guzema Debuts First Colored Gemstone JewelryThe “Celestial Blue” capsule collection campaign features Olympian Kateryna Sadurska.
MajorsJul 14, 2025
Nanis Opens First StoreThe seasonal store, located in Mykonos, Greece, offers exclusive events, personal styling, and curated experiences.
IndependentsJul 14, 2025
It’s the Summer of Love at Long’s JewelersThe New England jeweler is hosting a bridal event for the month of August.
SourcingJul 14, 2025
Ethical Gem Fair Heads to SeattleThe trade-only event will host its debut fair in the Emerald City later this month.
Events & AwardsJul 11, 2025
The Edge’s Annual Conference Returns in SeptemberIts sessions will focus on inventory strategies, staff performance, retention and acquisition, emerging market trends, and more.
CollectionsJul 11, 2025
Piece of the Week: Miseno’s ‘Arco’ EarringsFor its 10th anniversary, Miseno designed the “Arco” earrings based on the Arco Felice, an arch conceptualized in A.D. 95 in Miseno, Italy.
Policies & IssuesJul 11, 2025
James Avery to Donate $1M to Texas Hill Country Relief EffortsThe jewelry company is one of several contributing to relief efforts in the region after the recent floods.
