Vince reports 13% sales gain, reveals Rebecca Taylor will close
Vince Holdings announced on Monday net sales for the second quarter increased by more than 13%, on the back of double-digit percentage growth in the fashion group's namesake brand, Vince.
The New York-based company reported net sales of $89.2 million, as compared to $78.7 million, up 13.4%, driven by a 20.5% increase in Vince brand sales, which offset a 27.9% decrease in Rebecca Taylor and Parker sales, combined.
The company said profit losses widened during the quarter, revealings net loss was $15 million or a less of $1.23 per share for the quarter ending July 31, compared to a net loss of $0.6 million or a loss of $0.05 per share in the same period last year.
“During the second quarter we saw momentum in Vince across both our women’s and men’s businesses as customers have returned to more normalized activities and events and are gravitating to the versatility of our sophisticated high-quality assortment," said Jack Schwefel, chief executive officer, Vince Holdings.
"While we are operating in a challenging macro environment with increased pressure on profitability, we remain focused on executing against our strategic initiatives for Vince, including the upcoming relaunch of the brand’s e-commerce platform.”
As part of the earnings announcement, the owner of Vince, Rebecca Taylor and Parker brands, said it plans to shutter its Rebecca Taylor brand, citing "increased headwinds from the range of macroeconomic and pandemic related issues in the industry."
"The closure of Rebecca Taylor will allow the company to focus on Vince’s core businesses and our overall financial foundation for the long-term," added Schwefel.
The company ended the quarter with 67 company-operated Vince stores and 18 company-operated Rebecca Taylor stores, a net increase of 7 company-operated Rebecca Taylor stores since the second quarter of fiscal 2021.
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