Insight ReportUS Consumer Survey – Amazon Yet to Crack Menswear Market Coresight Research July 6, 2017 Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Company Earnings UpdateSainsbury’s (LSE: SBRY) 1Q18 Update: Sales Lifted by Warm Summer Coresight Research July 5, 2017 Executive Summary The UK’s second-biggest grocery retailer, Sainsbury’s, posted 1Q18 comps of 2.3%, excluding fuel and including Argos in the prior year base. Total sales increased by 2.7%, including Argos in the base and excluding fuel and the impact of the sale of Sainsbury’s pharmacy business. Sainsbury’s reaffirmed its target to deliver £160 million in EBITDA synergies from the Argos acquisition by March 2019, and achieve £145 million in cost savings this fiscal year. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Company Earnings UpdateH&M (STO: HM-B) 1H17 Results: Sales Growth Mainly Driven by New Store Openings Coresight Research June 30, 2017 Executive Summary Swedish fast-fashion retailer H&M reported SEK 98.4 billion in net sales in 1H17, slightly below the consensus estimate of SEK 98.8 billion and up 8.6% year over year. Constant-currency sales increased by 5.0% in 1H17 and UK sales increased by 6.0%. The company’s gross margin contracted by 20 basis points year over year, to 54.7%. Diluted EPS was SEK 5.05, up 5.9% year over year and above the consensus estimate of SEK 4.84. H&M expects June 2017 group monthly sales including VAT to increase by 7% year over year in constant currencies. The company is targeting a 10%–15% increase in group sales in constant currencies in FY17. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Insight ReportSycamore Partners to Acquire Staples for $6.9 Billion Coresight Research June 30, 2017 Executive Summary Sycamore Partners will acquire US office supplies retailer Staples in a leveraged buyout deal for $6.9 billion. Staples has been suffering from increasing competition and slowing demand for office supplies, while its attempted merger with Office Depot was blocked on antitrust grounds in 2016. The leveraged buyout deal is expected to allow the company more leeway to restructure and better position its business amid current headwinds. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Company Earnings UpdateWalgreens Boots Alliance (WBA) Fiscal 3Q17 Results: Beats and Raises Guidance, Announces New Agreement with Rite Aid Coresight Research June 30, 2017 Executive Summary Walgreens Boots Alliance reported fiscal 3Q17 adjusted EPS of $1.33, above the $1.30 consensus estimate. Revenues were $30.1 billion, up 2.1% year over year and above the $29.7 billion consensus estimate. Sales increased by 5.0% on a constant-currency basis in the quarter. Separately, the company announced the replacement of its merger agreement with Rite Aid with a new agreement to purchase 2,186 stores, three distribution centers and related inventory for $5.175 billion in cash plus the assumption of related real estate leases and other liabilities. The new transaction is expected to close within the next six months. The company also raised the lower end of its FY17 guidance by $0.08 per share, and now expects adjusted EPS of $4.98–$5.08. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Company Earnings UpdateNike (NKE) Fiscal 4Q17 Results: Beats on Earnings, Boosted by Strong International Sales Coresight Research June 30, 2017 Executive Summary Nike reported fiscal 4Q17 adjusted EPS of $0.60, ahead of the $0.50 consensus estimate and up 22.4% year over year, driven by SG&A expense leverage as well as by higher global revenue, a lower tax rate and a lower share count. Revenues were $8.68 billion, up 5.3% year over year, or up 7% on a constant-currency basis, and were slightly ahead of the $8.63 billion consensus estimate. Revenues for the Nike brand were $8.1 billion, up 7% in constant currency. Revenue growth was driven by double-digit growth in international geographies, including Western Europe, Greater China and the emerging markets region, as well as by strength in the sportswear and running categories. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Analyst CornerWeekly Insights Jun 30, 2017 Coresight Research June 30, 2017 Executive Summary This week’s note “From the Desk of Deborah Weinswig” previews Amazon’s upcoming, third annual Prime Day shopping event. Meal-kit delivery company Blue Apron said that it is cutting the expected pricing range of its 30 million common shares that will be sold in an upcoming IPO to $10–$11 from $15–$17 previously, which reflects investors’ increasingly skeptical outlook on the food retail business. German retailer Metro Group has invested €14 million (US$15.8 million), together with other companies, in British fintech startup Yoyo Wallet, which gives customers access to mobile ordering, payments and a personalized loyalty program and provides retailers with an analytics and campaign platform. Chinese e-commerce giant JD.com is investing $397 million in UK luxury online retailer Farfetch. The partnership will give Farfetch access to JD.com’s marketing platform, social media channels and delivery service. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Deep DiveDeep Dive: Fashion Re-Commerce Update—12 Catalysts for Apparel Resale Growth Coresight Research June 29, 2017 Executive Summary The marketplace for online fashion resale (“recommerce”) continues to evolve rapidly. US full-price retailers are suffering while re-commerce is thriving, and re-commerce is currently one of the fastest-growing sectors in retail. The total apparel resale market (brick-and-mortar and online) is expected to grow at a CAGR of 13% from $18 billion in 2016 to $33 billion in 2021. Key factors driving continued growth of the fashion recommerce sector include millennial penetration, desire for value and cost savings, the entertainment factor of the treasure hunt for unique items, decluttering, environmental concerns, greater interest from higher-income shoppers and male customers, as well as resellers opening physical locations. We have also seen the emergence of mobile peer-to-peer re-commerce platforms offering innovative and easy-to-use technological features including social media functionality. Online secondhand resellers could pose a competitive threat to off-price retailers such as TJX, as both offer steep discounts on branded merchandise and provide a treasure hunt shopping experience. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Insight ReportTakeaways from the Goldman Sachs Third Annual Innovation Symposium Coresight Research June 29, 2017 Executive SummaryOn June 27, the Fung Global Retail & Technology team attended the Goldman Sachs Third Annual Innovation Symposium in New York. The investor-focused event featured technology companies that are pursuing new approaches in analytics, data, artificial intelligence (AI), machine learning and more. The following are our key takeaways from the event: Maintaining a culture of innovation has helped EOG Resources become an industry leader and has enabled the company to develop more than 65 customized technology applications. Speed, low latency of service, scale and flexibility are the major attributes that will allow 5G networks to further enable the Internet of Things (IoT) and power innovation in the future. Digital solutions such as precision planting, autonomous tractors and drones are driving a new segment of productivity in agriculture. Massive growth of data, faster hardware and more broadly available algorithms are accelerating advances inAI capabilities and applications. Advances in OLED technology have allowed it to gain share in the digital display market and enabled new applications, particularly on mobile. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Deep DiveDeep Dive: Kaufland in Australia – Europe’s Biggest Retailer Heads Down Under Coresight Research June 28, 2017 Executive SummaryThe biggest retailer in Europe, Schwarz Group, is reportedly bringing its Kaufland discount hypermarket format to Australia. The company told us that it is still scoping the market. Kaufland could capitalize on the strong Australian consumer demand for value groceries, which would place pressure on the dominant grocery retailers, Coles and Woolworths. However, Kaufland’s ability to build share in a developed, consolidated retail market is untested. So far, Kaufland has launched outside Germany only in Eastern European countries. We think Kaufland would face greater challenges in nonfood categories. It would be entering a market that not only has a number of incumbent value general merchandise retailers, but also one that is set to see more and more nonfood sales migrate online. In short, there are opportunities for a discount grocery offering in Australia, but we think any major addition of nonfood space would be challenging in a sector that will see more sales switch out of brick-and-mortar stores Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Company Earnings UpdateDebenhams (LSE:DEB) 3Q17 Update: Comparable Sales Growth Deteriorates Coresight Research June 28, 2017 Executive Summary UK-based department store chain Debenhams reported that gross transaction value declined by 1.0% year over year in 3Q17. Constant-currency comparable sales declined 2.4%. Following weak 3Q17 sales, the company expects to deliver FY17 profit before tax (PBT) within the current range of market expectations, but warned that PBT could be toward the lower end of the range. Gross margin guidance for FY17 was unchanged, whereas cost guidance tightened to a 3% increase, or a 1% increase in constant currency. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Deep DiveDeep Dive: An Introduction to Cybersecurity—Part Three Coresight Research June 27, 2017 Executive Summary In Part One of this Deep Dive report, we provided a summary of the current cybersecurity environment and discussed its components. In Part Two, we discussed the components and characteristics of an advanced attack, the different types of attacks and vulnerabilities, and the different types of hackers. Here in Part Three, we discuss new threats/threat vectors and provide an overview of cybersecurity markets and companies. Technological advances, such as steady increases in computing power driven by Moore’s law, represent new threats. In addition, the proliferation of mobile advices and the advent of the Internet of Things multiply the number of potential entry points for malware. Common technologies such as external USB drives and public Wi-Fi networks can also serve as delivery vehicles for malware. The move to cloud computing presents its own unique security issues. Global spending on cybersecurity is forecast to increase at an 8.3% CAGR between 2016 and 2020, growing from $73.6 billion to $101.6 billion. That CAGR is more than double the projected growth rate for IT spending over the period. Fortunately, a powerful cybersecurity industry has emerged, and many private and public companies now specialize in providing targeted hardware and software solutions to thwart and minimize the impact of cyberattacks. Venture capital investment in the space is also healthy, keeping the level of innovation high. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Event CoverageInsights from Alibaba’s Gateway ’17 Summit: Consumer and Industry Trends in China—Fashion and Apparel Panel Coresight Research June 26, 2017 Executive Summary Roth Lai, Deputy Editorial Director, ELLE China Jessica Liu, General Manager, Tmall Apparel Leslie Tse, General Manager, International Business Development, Baozun Deborah Weinswig, Managing Director, Fung Global Retail & Technology Below are the top ten takeaways from the Fashion and Apparel presentation by Amee Chande, Managing Director of Global Strategy and Operations at Alibaba Group: There is a significant demand for the fashion category in China Everyone wants it: demand is strong from first tier cities as well as lower tier cities Apparel is the first thing Chinese consumer trade up when their income rises Chinese millennials are the leading consumer group for the fashion category in China Chinese consumers are spoiled for fashion choices Chinese consumers are still deal-savvy Women shoppers are important in China Indie fashion brands have a unique opportunity in China China’s fashion market is a dynamic marketplace driven by celebrity endorsement The American lifestyle is inspirational for Chinese fashion consumers Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
Insight ReportA Social and Sustainable Approach to Raw Material Innovation: Himalayan Wild Fibers Coresight Research June 26, 2017 Executive Summary An environmentally sustainable supply chain is becoming increasingly more important for the fashion industry, as apparel manufacturers make extensive use of resources, chemicals and energy, and often operate a global supply chain, all of which can have a big impact on the environment. An important focus for sustainable fashion is to source and use more eco-friendly raw materials such as sustainably-grown cotton, wood-based fibers and recycled synthetic materials. Himalayan Wild Fibers (HWF) is a socially-driven US enterprise with operations in Nepal that produces wild-harvested Himalayan nettle textile fiber and sells it into global textile supply chains as a raw material input for the manufacture of high-end apparel and furnishings. Already a subscriber? Log in You are currently viewing a preview of this report. Please select an access option to view the full report. Hide Options - Show Options + Get unlimited access to all our research with one of our subscription plans. View Subscription Plans or Contact us to purchase this report. Contact us ✕ This document was generated for
Event CoverageInsights from Alibaba’s Gateway ’17 Summit Coresight Research June 23, 2017 Executive Summary Livestreaming is an effective tool for engaging with Chinese consumers. Selling a lifestyle rather than a product can help build strong customer relationships. American boutiques and emerging brands have significant opportunity in China. Third-party trade partners enable American companies to operate their Chinese e-commerce businesses on Alibaba’s platforms. Small and medium-sized brands and retailers should enter China via e-commerce. Please Login to read the full report. Not a member? To access this content for free, register for a free account. This document was generated for
