The Children’s Place, sales accelerated since mid-March; 20% up, compared to last year
The children’s Place Inc. (TCP) one of the largest pure-play children’s specialty apparel retailer in North America, is happy with its accelerated sales since Mid March. Jane Elfers, President and Chief Executive Officer announced, “Our Q1 results significantly exceeded our expectations despite our 70% store overlap with the approximately 800 Gymboree and Crazy 8 liquidations that occurred in Q1 and the headwind of a later Easter. Our sales began to accelerate in mid-March and continued to strengthen through the end of the quarter, resulting in positive comparable retail sales in excess of 20% for the month of April. Our product clearly resonated with our customers and our inventory is well positioned entering Q2.”
Jane continued, “With respect to the Gymboree integration, we are on track for an early 2020 launch. Importantly, the recent launch of Tiny Collections, the curated toddler line we developed in response to Gymboree’s failed merchandising strategy, is performing above expectations, generating a significantly higher AUR as compared to our TCP-branded product.”
Several years ago, TCP developed a multi-pronged strategy to position the company to successfully compete in a period of rapid digital change. “Fast forward to today– we are a global omni-channel retailer with a best-in-class management team. Our product offering is consistently well-received, our real estate portfolio is optimized, our digital investments have been accelerated to position us to continue to capture market share, and our diversified sourcing strategy provides us with a key competitive advantage. The successful execution of these strategic initiatives has uniquely positioned us to succeed during a period of digital disruption and unprecedented industry consolidation. We look forward to continuing to deliver for our shareholders in 2019 and beyond,” concluded Jane
Consistent with the Company’s store fleet optimization initiative, the Company opened one store and closed two stores during the first quarter of 2019. The Company ended the first quarter with 971 stores and square footage of 4.5 million, a decrease of 3.2% compared to the prior year. Since TCP’s fleet optimization initiative was announced in 2013, the Company has closed 213 stores.
The Company’s international franchise partners opened nine points of distribution in the first quarter, and the Company ended the quarter with 212 international points of distribution open and operated by its eight franchise partners in 20 countries.
Source: The children’s Place Inc., Headquarters- Secaucus, New Jersey, United States
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