Bebe stores Inc., US-based womenswear retailer, has announced its financial results for the second quarter of the current fiscal ended 31st December, 2016. The fashion brand’s net sales declined 16.8 per cent to US $ 101.9 million compared to US $ 122.4 million in the corresponding period last year.
In the reporting period, comparable store sales decreased 10.5 per cent following the fall of 2.5 per cent prior year. Net loss in this period totalled US $ 5.2 million from last year’s US $ 5.5 million. In the above-mentioned period, the company closed one Bebe store.
The company also posted its fiscal results for the period of first half ended 31st December, 2016. Net sales in this period amounted to US $ 189.2 million, down by 13.5 per cent from last year’s US $ 218.7 million. Comparable store sales declined 7.4 per cent. The company’s net loss stood at US $ 13.0 million compared to net loss of US $ 22.6 million in the same period prior year.
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Manny Mashouf, Chief Executive Officer, Bebe said, “Similar to the last quarter we had a very strong denim and leggings business which we will continue to invest in. We also had improved results in knit tops, total outerwear and evening dresses offset by weakness in day dresses, woven tops and non-apparel. In addition, our Outlet business generated positive comparable stores sales for the quarter. Consistent with the prior quarter we continue to find it challenging to offset the extremely high levels of markdowns and promotions realized in the prior year.”
In the current financial year, the company does not plan to open any new store locations and will close up to 25 Bebe and outlet stores.
