Insight ReportInfographic: Millennials And Furniture In The US And The UK Coresight Research February 13, 2017 Executive SummaryThis infographic on Millennials and Furniture in the US and the UK includes: Trends in Home Ownership Desires for price and value proposition Planned redecoration expenditures Brick-and-mortar store behavior Online vs in-store purchase trends Retailers who are likely to benefit You can also view our full report: Millennials and Furniture in the US and the UK – Ten Characteristics That Define the Market 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 ReportL’Oréal (ENXTPA: OR) FY16 Results: Solid Top-Line Growth Across All Regions Coresight Research February 10, 2017 Executive Summary Global cosmetics giant L’Oréal reported total FY16 sales growth of 2.3%. The company grew revenues by a strong 5.1% at constant exchange rates and by a robust 4.7% on a comparable basis. All regions reported solidly positive revenue growth at constant currency, although The Body Shop’s revenues were down 4.8% as reported. The company said it outperformed the market in North America and Europe. L’Oréal Luxe was the strongest division. Total revenue growth came in fractionally below the 2.5% increase expected by analysts, but diluted EPS of €6.46 came in ahead of expectations of €6.40. 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
Analyst CornerWeekly Insights Feb 10, 2017 Coresight Research February 10, 2017 Executive Summary This week’s note “From the Desk of Deborah Weinswig” discusses the recent spate of top management departures from department stores and brands. Walmart recently announced that it has increased its stake in Chinese e-commerce giant JD.com to 12.1%, worth roughly $4.87 billion, up from the 10.8% stake it had in October and the 5.9% stake it had in June of last year. French luxury brand LVMH announced that it has set up LVMH Luxury Ventures, a special investment vehicle that will identify and invest in small, emerging brands in the fashion, beauty and accessories categories. The vehicle will begin with a funding pool of €50 million (US$53.3 million). China’s Alibaba Group will lead a $200 million round of investment in newly established Indian online retailer Paytm E-commerce. The deal will deepen Alibaba’s investment in a burgeoning e-commerce market now dominated by Amazon and Flipkart. 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: US Retail—Store Closure and Management Change Tracker Coresight Research February 10, 2017 Executive Summary Among the major US retailers that we track, so far this year, eight have announced store closures and another six have announced management changes. Store closure announcements are concentrated among the department stores and specialty retailers. Those facing bankruptcy proceedings—Wet Seal, American Apparel and The Limited—plan to close their entire store network. Macy’s plans to close 9% of its total store base, Sears 6%, Kmart 13%, BCBG 21%. JCPenney has plans to cut stores in the near future. Management changes: Since the start of 2017, six major retailers have announced management changes, including Ralph Lauren, Tiffany & Co., Abercrombie & Fitch, Barneys, Givenchy and Coach. The shared rationale behind the store closures include reconfiguring the store network due to the shift to online shopping, stemming losses from unprofitable stores and reallocating resources to focus areas. Management changes announced were justified by disappointing financial performance (Tiffany & Co.), conflicting views with founders (Ralph Lauren) and planned succession (Barneys). 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 ReportYoox Nex-A-Porter Group (BIT: YNAP) FY16 Trading Update: Strong Sales Growth in All Geographic Regions Coresight Research February 8, 2017 Executive Summary Italian online fashion retailer YOOX Net-a-Porter Group reported net revenues of €1.87 billion in FY16, up 12.4% year over year on a reported basis and up 17.7% year over year at constant exchange rates. Revenues came in slightly below the consensus estimate of €1.89 billion. FY16 sales growth was driven by a strong performance across all geographic regions, especially the Asia-Pacific region, where sales increased by 27.1% at constant exchange rates. UK sales increased by 15.3% year over year at constant exchange rates. The average number of monthly unique visitors across the company’s sites rose by 7.9% year over year in FY16, to 28.8 million, and orders increased by 18.3% year over year, to 8.4 million. 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 UpdateMichael Kors (KORS) 3Q17 Results: Company Misses Expectations; Weak Guidance Points to Challenges Coresight Research February 8, 2017 Executive Summary Michael Kors reported 3Q17 total revenue of $1.35 billion, down 3.2% from $1.40 billion in the year-ago quarter. EPS was $1.64, beating the consensus estimate of $1.63. The weak results were due to the underperformance of the North America and Europe businesses; the Asia region outperformed. The company expects weak traffic and sales trends to continue throughout the spring season in North America and Europe. The company now expects total revenue to be about $4.48 billion for the fiscal year, down from previous expectations of $4.55 billion. Total comp sales are expected to decrease in the high-single-digit range. EPS is expected to be $4.15–$4.19, versus consensus of $4.37. 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 DiveIndia Rising — An Overview of India’s Burgeoning Startup Ecosystem Coresight Research February 7, 2017 Executive SummaryThis is the first report in our series on the Indian startup ecosystem. By the end of 2015, India had over 4,000 tech startups and ranked third after the US and the UK. Nearly 76% of India’s business-to-consumer (B2C) tech startups were concentrated in the e-commerce and online aggregators sector in 2015. A large proportion of startups, incubators and accelerators are situated in Bangalore, India’s main startup hub. The Indian government has launched campaigns such as “Startup India” and “Make in India” to encourage entrepreneurship and investment in the country. Business would likely benefit from clearer and more realistic government initiatives, objectives and policies for new businesses and entrepreneurs. Moreover, improving basic infrastructure in the country would contribute to growth in commerce. 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: US Consumer Survey: Amazon is Winning the Battle in the Toy Segment Coresight Research February 7, 2017 Executive Summary While brick-and-mortar stores remain the main channel where consumers go to buy toys, online retailing has doubled its mind share compared with five years ago: 14.7% of consumers say they go online to purchase toys versus 7.3% five years ago. Amazon has capitalized on the rising popularity of shopping for toys online: over 14% of parents shop most often at Amazon for toys. The retailer has gained shared at the expense of Walmart and Target, while Toys “R” Us has managed to remain differentiated. Both Amazon and Walmart appeal to price-sensitive customers, however, according to consumers, Amazon offers better selection and service, which is how the retailer is winning the battle in the toys segment. 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 ReportWalgreens (WBA) and Rite Aid (RAD) Merger Saga Coresight Research February 6, 2017 Executive Summary The largest drugstore chain in the US, Walgreens Boots Alliance, has extended and amended its agreement to acquire the country’s third-largest retail pharmacy chain, Rite Aid. The amendment follows an earlier transaction deadline that was set for the end of January 2017. Under the terms of the amendment, Walgreens has reduced its offer price for Rite Aid shares from $9.00 per share to a minimum of $6.50 per share and a maximum of $7.00 per share. The exact price per share will be determined by the number of stores Walgreens will be forced to divest in order to satisfy Federal Trade Commission (FTC) antitrust concerns and receive approval for the deal. The expected closing date for the transaction has been delayed to July 2017. Walgreens first announced the proposed takeover deal in October 2015, and has been forced to push back the closing date, as the FTC has not finished assessing if the proposed merger complies with antitrust law. The amended deal provides scope for a greater number of store divestitures than previously expected and reflects the weakening fundamentals of the Rite Aid business since the merger was originally announced. 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 UpdateRalph Lauren (RL) 3Q17 Earnings: CEO Departure Announcement Overshadows 3Q Results Coresight Research February 3, 2017 Executive Summary Ralph Lauren reported 3Q17 adjusted EPS of $1.86, beating the consensus estimate of $1.64. Revenues decreased by 12%, to $1.71 billion from $1.95 billion in the year-ago period, and were in line with guidance. Coinciding with its earnings release, the company announced that CEO Stefan Larsson would depart May 1, 2017. The company maintained its full-year guidance. Consolidated net revenue is expected to decrease at a low-double-digit rate, consistent with the company’s Way Forward plan. Ralph Lauren continues to expect an operating margin of approximately 10% for the full 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 UpdateLuxottica (BIT: LUX) Global Empire: M&A History Coresight Research February 3, 2017 Executive Summary Over the past 20 years, Italy-based Luxottica has expanded through numerous acquisitions and grown into the world’s largest consumer eyewear frame manufacturer, with US$9.7 billion in annual sales and a market capitalization of US$26 billion. Luxottica’s acquisitions have included purchases of sunglass manufacturers, optical retailers and eyewear wholesalers globally. Some of the company’s largest and most prominent acquisitions included Oakley, Rayban, Sunglass Hut and Lens Crafters. Luxottica recently announced a mega merger with France-based ophthalmic lens manufacturer Essilor to form a powerhouse eyewear industry player in a deal valued at nearly US$50 billion. 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 Feb 3, 2017 Coresight Research February 3, 2017 Executive Summary This week’s note “From the Desk of Deborah Weinswig” discusses social commerce and its value to consumers, as well as the value of social media to both retailers and consumers. In 2016, direct online sales accounted for 11.6% of total US retail sales ($394 billion), but digital touchpoints actually impacted an estimated 49% of total US retail sales, according to a recent report from the National Retail Federation and Forrester. The Confederation of British Industry announced that growth in both private sector and consumer confidence was 10% in the three months ended January 2017. Retailers reported “decent growth” and output growth among manufacturers was strong, while growth was flat in the service sector. Ant Financial, the digital payments arm of Chinese e-commerce group Alibaba, announced an agreement to acquire US-listed money transfer service MoneyGram for about $880 million in cash. The purchase of MoneyGram, which competes with Western Union, would give Ant Financial a platform for expanding its services to many other parts of the world. 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 UpdateEstée Lauder (EL) 2Q17 Results: Mixed Quarter, Softer Outlook Due to Currency Effects Coresight Research February 3, 2017 Executive Summary Estée Lauder reported fiscal 2Q17 adjusted EPS of $1.22, flat year over year but beating the $1.17 consensus estimate. Net sales were $3.21 billion, up 2.7% year over year but slightly missing the $3.24 billion consensus estimate. Fragrance was the strongest product category, driven by double-digit growth from some luxury brands and from acquisitions. Asia was the strongest geography, driven by double-digit growth in China and the Philippines. The company provided full-year and 3Q17 guidance ranges that were below consensus estimates, due to the negative impact of exchange rates. 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 UpdateAmazon (AMZN) 4Q16 Results: Earnings Beat, Revenue and Guidance Below Expectations Coresight Research February 3, 2017 Executive Summary Amazon reported 4Q16 EPS of $1.54, compared with $1.00 in the year-ago quarter and beating the $1.37 consensus estimate. Net sales were $43.7 billion, up 22.4% year over year but missing the $44.7 billion consensus estimate. Amazon Web Services (AWS) revenues was up 47.0% but missed consensus estimates. The division contributed 74% of operating profit in the quarter. Revenue and EPS guidance for 1Q17 were both below consensus estimates. 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) FY16 Results: Tough Year, but Better-Than-Expected January Sales Coresight Research February 1, 2017 Executive Summary Swedish fast-fashion retailer Hennes & Mauritz AB reported SEK192.3 billion in net sales excluding VAT in FY16, slightly below the consensus estimate of SEK192.8 billion and up 6.3% year over year. Net sales including VAT increased by 7% year over year on a constant currency basis. The company did not provide comparable stores sales growth rates. Diluted EPS was SEK11.26 for FY16, down 10.9% from SEK12.63 pence in FY16 and above the consensus estimate. The company introduced a new growth target to increase group sales by 10%–15% in constant currencies, reflecting the growing impact of the online sales contribution. The company stated that group sales including VAT in the period 1 January to 29 January 2017 increased by 11% year over year in constant currencies, above the consensus estimate of 10% year-over-year sales growth. 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
