In an episode of the popular ABC show “Shark Tank” that aired last week, founders of the web-only fashion retailer ranked in the Second ...
For the second fiscal quarter, web sales declined by 4.7% while total sales and retail sales decreased by 21.9% and 22.5%, respectively.
Web sales declined for The Neiman Marcus Group Inc. in the second quarter of fiscal 2009 but at only a fraction of the pace for total sales.
Web sales in Q2 declined by 4.7% to $172.2 million from $180.6 million. Total sales decreased year over year by 21.9% to $1.08 billion from $1.37 billion. Retail store sales decreased by 22.5% to $870.6 million in the quarter from $1.13 billion. Comparable store sales decreased by 22.8%.
Even with the decline in web sales, the web still accounted for a larger portion of sales in Q2: 16% versus 13% a year earlier. Catalog sales in the second quarter declined by 35.7% to $36.6 million from $56.9 million.
Neiman Marcus, No. 37 in the Internet Retailer Top 500 Guide, posted an operating loss of $592.7 million in the quarter compared with operating earnings of $134.3 million in Q2 of fiscal 2008.
For the first two quarters of the 2009 fiscal year, web sales declined by 3.8% to $293.2 million from $304.7 million in the previous fiscal year. Total sales for the first half of the current fiscal year decreased by 17.6% to $2.06 billion from $2.50 billion. Retail store sales for the first two fiscal quarters decreased by 18.7% to $1.70 billion from $2.09 billion and comparable store sales dropped by 19%. The web accounted for 14% in the first six months of FY 2009 vs. 12% in the prior year.
Catalog sales dropped year over year by 28.2% to $74.3 million from $103.5 million. In the first two quarters Neiman Marcus had an operating loss of $511.1 million vs. operating earnings of $324 million in the previous year. Neiman Marcus operates 42 stores.