Financial Reports: Restoration Hardware, Tiffany, Chico’s

Nov 30, 2006 3:23 AM  By

Net Loss Widens at Restoration Hardware
Third-quarter catalog and Web sales at Corte Madera, CA-based home furnishings merchant Restoration Hardware increased 58%, to $57.0 million from $36.1 million last year. But that wasn’t enough to shrink the Corte Madera, CA-based company’s net loss. For the three months ended Oct. 28, the cataloger/retailer lost $5.7 million, compared with a net loss of $4.2 million for the third quarter of last year.

Total net revenue for the quarter increased 22%, to $157.1 million from $128.4 million last year. Comparable-store sales increased 4%, a turnaround from last year’s 2% decline in same-store sales for the quarter.

“We launched two important growth initiatives during the quarter,” CEO Gary Friedman said in a statement. “First, we continued to extend our brand by introducing our second category extension, The Restoration Hardware Gift Catalog. In addition, we launched our new fashion home brand, Brocade Home. While still early, we are pleased with the response to both catalogs.”

Sales, Income Up at Tiffany
New York-based jeweler Tiffany & Co. enjoyed double-digit sales and income growth for the third quarter. Overall net sales increased 10%, to $547.7 million for the three months ended Oct. 31. Revenue in its direct marketing unit rose 11%, to $30.3 million. Retail sales increased 9%, while comparable-store sales rose 6%. And net income grew 22%, to $29.1 million.

Third-Quarter Revenue Up, Income Down at Chico’s
Third-quarter net sales for the women’s apparel merchant Chico’s FAS rose nearly 17%, to $1.20 billion for the three months ended Oct. 28. Catalog and Internet sales increased 33%, to $12.6 million from $9.5 million a year ago. The Fort Myers, FL-based company attributed the rise in direct sales to an increase in the amount of merchandise now available on the Websites of its White House/Black Market and Soma brands. Net income slipped 21%, however, to $42 million from $53 million last year.