Company Earnings Update | February 4, 2019 Register for Free Access Simon Property Group (NYSE: SPG) 4Q18 Results: In-Line Quarter, Softer 2019 Due to Department Store ClosuresIn 2018, the company opened two new shopping destinations, completed five significant property transformations and started construction on several redevelopments of former department store spaces. During 2018, the company closed on 22 mortgage loans totaling approximately $3.2 billion, , of which Simon’s share is approximately $1.3 billion. These loans carry a weighted average interest rate and weighted average term of 3.69% and 8.1 years, respectively. Read More
Company Earnings Update | February 4, 2019 Register for Free Access Unilever (LSE: ULVR) FY18 Results: Accelerating Growth to be Priority, Followed by AgilityUnilever reported revenue of €50.98 billion, slightly behind consensus of €51.06 billion and down 5.1% from FY17 due to adverse currency impacts. Organic sales were up 2.9% year over year, driven by strong growth in Asia/AMET (Africa, Middle East, Turkey)/RUB (Russia, Ukraine and Belarus) region, yet slightly below consensus of 3.0%. Unilever noted that gross margin improved 50 bps to 43.6%, but did not disclose gross profit numbers. Operating margin rose to 24.6%, 810 bps above previous year. Unilever grew its underlying operating margin from 17.5% in FY17 to 18.4% in FY18. Diluted EPS increased 61.9% to €3.48. Read More
Company Earnings Update | February 4, 2019 Register for Free Access Amazon (NASDAQ: AMZN) 4Q18 Results: Beats Consensus Estimates, Guidance Below ConsensusNorth America revenues were $44.1 billion, up 18.3% year over year, posting operating income of $1.7 billion, compared to a profit of $1.7 billion in the year-ago quarter. International revenues were $20.8 billion, up 15.5% year over year, posting an operating loss of $0.6 billion, compared to a loss of $0.9 billion in the year-ago quarter. AWS revenues were $7.4 billion, up 45.3% year over year, posting an operating profit of $2.2 billion, compared to $1.4 billion in the year-ago quarter. Read More
Flash Report | February 4, 2019 Register for Free Access Americans Fall Out of Love with Valentine’s Day — But Those Celebrating Are Set to Spend More than EverValentine’s Day in 2019 is expected to be very different than it was a decade ago, according to an annual survey released by the NRF and Prosper Insights & Analytics. The percentage of people expecting to celebrate the day has dropped to 50.7% in 2019 from 54.7% last year and 62.8% in 2009, making likely 2019 participation the lowest in a decade. Read More
Insight Report | February 1, 2019 Premium Revised Foreign Direct Investment Policy to Rejig the E-Commerce Playing Field in IndiaOn December 26, 2018, the Indian government unexpectedly announced a revised FDI policy for e-commerce. Since 2010, when it first allowed 100% foreign investment in business-to-business e-commerce, international firms such as Amazon set up intricate joint-venture and holding company structures to cleverly navigate the Indian e-commerce landscape. Read More
Market Outlook | February 1, 2019 Premium Sector Overview: US Apparel Specialty Retailers — Collaborations Are the New NormalIn 2018, U.S. apparel and footwear specialty retailers’ sales totaled $197 billion, according to Euromonitor International, and its analysts forecast sector sales will grow at a CAGR of 3.3% to 2023, reaching $232 billion. Relative to the recent past, 2018’s results were strong. Sportswear and athleisure are driving specialty apparel and footwear sales. We see areas of opportunity in the lingerie and plus-size categories. We expect specialty retailers to continue exploring collaborations, partnerships and global expansion – particularly into China and India. Read More
Event Coverage | February 1, 2019 Register for Free Access World Bank Sees Slowing Productivity and Social Inclusion As Key Challenges for High-Growth East Asia CountriesThe success of these economies has been built on the “East Asian Development Model,” which the World Bank says includes policies and initiatives to promote export-oriented manufacturing, supported by education designed to support economic growth. However, developing East Asia still has some gaps to fill. China’s per capita GDP is only one-fifth the average for high-income economies, followed by Vietnam at just 5% and Cambodia at 3%, according to the World Bank report. When South Korea achieved high-income status in 2000, its labor productivity was 2.5 times higher and its human capital was one-third higher than China’s was in 2018. Read More
Company Earnings Update | February 1, 2019 Register for Free Access Alibaba (NYSE: BABA) 3Q19 Results: Solid Growth Driven by Core Commerce and Cloud SegmentsManagement noted uncertainty around China’s economy but believes that new initiatives in cloud services and entertainment as well as global expansion will help offset the impact of China’s slowing economic growth. Southeast Asia remains one of the key areas of focus for the near term. Read More
Company Earnings Update | February 1, 2019 Register for Free Access Tractor Supply Company (NASDAQ: TSCO) 4Q18 Results: Beats Consensus Estimates, Guidance in Line with ConsensusTractor Supply reported Q4 revenues of $2.13 billion, up 9.2% year over year and above the $2.10 billion consensus estimate. Comps were 5.7%, beating the 3.7% consensus estimate and comprising a 3.0% increase in average ticket and a 2.6% increase in transaction count. All geographic regions and all major product categories had positive comps. Continued strength in everyday merchandise in the consumable, usable and edible categories helped drive comps, in addition to strong sales of winter and other seasonal products. Read More
Company Earnings Update | February 1, 2019 Register for Free Access H&M (STO: HM-B) FY18 Results: Logistics Upgrade Proves a Drag on ProfitsFor 1Q19, the company expects markdowns to be around 1 percentage point lower compared to the year-ago period and expects to see continued improvement in inventory, led by strong collections and increased full-price sales. Net sales for the period December 1, 2018 to January 28, 2019, increased 4% year over year in local currencies. In FY19, the company plans to open around 335 new stores, of which around 240 will be H&M stores. H&M plans to close 160 stores. The company will open new logistics centers outside Madrid and north of London at the end of 2019 or beginning of 2020. Read More
Company Earnings Update | February 1, 2019 Register for Free Access LVMH (ENXTPA: MC) FY18 Results: Fashion and Leather Goods Set the PaceLVMH full-year sales rose 9.8% to €46.8 billion. Currency exchange rates adversely impacted full year sales results by (400) bps. Online sales rose approximately 27-28%, to €3.7 billion and now represent 8% of consolidated 2018 revenues. Fashion and leather goods set the sales pace, achieving 15% organic growth in 2018. The Louis Vuitton brand has surpassed €10 billion annually and the fashion and leather goods segment now represents 39% of consolidated 2018 revenues, up from 36% in 2017. Read More
Question of the Week | January 28, 2019 Free Report How Big is the Apparel and Footwear Market in the US, China and Western Europe?Question of the Week January 28 2019 – How Big is the Apparel and Footwear Market in the US, China and Western Europe? Read More
Insight Report | January 28, 2019 Premium December 2018 Monthly Consumer Update: US, UK and ChinaRetail Sales: The U.S. government shutdown means that December retail sales figure are not yet available. In November, year-over-year growth in retail sales excluding automobiles and gasoline remained broadly stable at 5.1%. In November, grocery store sales were up 3.0% and clothing store sales up were 4.1%; department store sales were down 0.2% year over year. Read More
Flash Report | January 28, 2019 Register for Free Access Super Bowl Retail Preview: US Shoppers to Spend $14.8 Billion on 2019 Game FestivitiesThe biggest spenders are those aged 35–44, who say they will spend an average of $123.26. The lowest are those 65 and older at $40.97. Viewers in the Northeast plan to spend the most, at an average $94.89, followed by the West at $84.01, the South at $79.09 and the Midwest at $69.24 — not surprising given the two teams playing are based in the Northeast and Southwest. Read More
Question of the Week | January 21, 2019 Free Report Where do U.S. adults shop most often for skin care and cosmetic products?Question of the Week January 21 2019 – Where do U.S. adults shop most often for skin care and cosmetic products? Read More
