Vince cuts loss as sales soar
New York-based fashion group Vince Holding Corp. reported a year-over-year increase of 112.5% in its second-quarter sales on Thursday, growth which allowed the company to make significant progress in reducing its net loss.
In the second quarter ended July 31, 2021, the group achieved net sales of $78.7 million, up from $37.0 million in the same period in the previous year.
Sales at the company’s namesake Vince brand rose to $67.2 million, up 108.5% compared to Q2 2020. Revenue in the brand’s wholesale channel increased 105.0% to $35.2 million, while direct-to-consumer segment sales rose 112.5% to $32.0 million.
The group’s Rebecca Taylor and Parker business posted a 139.4% increase in its quarterly sales, which totaled $11.5 million.
Net loss at the company was $0.6 million, or $0.05 per share, compared to a net loss of $15.1 million, or $1.28 per share, in the prior-year period.
“We are pleased with our performance in the quarter, particularly with the Vince brand approaching pre-pandemic levels driven by strength in our direct-to-consumer business,” commented Vince CEO Jack Schwefel in a release. “Going forward, we will continue to focus on accelerating direct-to-consumer as well as our growth strategies of building out our ecommerce capabilities, strengthening brand awareness through marketing, and accelerating growth in men’s.”
In the first half of the year, Vince’s net sales were $136.2 million, up 79.1% from $76.0 million in the same period in the previous year. The company’s net loss for the six-month period was $12.2 million, or $1.03 per diluted share, compared to a loss of $63.2 million, or $5.39 per diluted share a year ago.
The company ended the second quarter with 78 company-operated Vince and Rebecca Taylor stores, 10 more than at the same time last year.
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