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  • August 21, 2008 08:25 AM EDT by Brian Sullivan

    The Buckle's Big Quarter

    Tween retailer The Buckle (NYSE: BKE) posted another big quarter.   Net income rose 88.9% on a 36.6% net sales increase.  While those numbers are impressive, more noteworthy is the same store sales jump of 27.8%.    While this is actually a drop from the previous quarters 34.7% same store sales gain, its still an impressive figure given the economy and whats happening to its competition.

    Hot Topic (NYSE: HOTT) lost a penny last quarter and comparable sales fell 4% at its Hot Topic branded stores and 11%  at its Torrid brand.

    Abercrombie & Fitch (NYSE: ANF) reported a drop in second quarter net income of 4% and the CEO noted: "Our second quarter financial results reflect difficult macroeconomic conditions and a significant slowdown in consumer spending."

    You find this often with the retailers.    One chain will complain of slowdowns, economic pain or (my favorite) adverse weather.   Others who will post blowout numbers.   This shows retail investing does indeed come down to what's hot and what's not.   The Buckle's goods are hot, most of the rest are not.

    I first wrote about The Buckle back on June 5th and will continue to watch the story.

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chuck

Brian with the retailers in trouble due this economic downturn..u and Cheryl should look at the Real Estate Investment Trusts just to see how they're fairling in this envorirment. I learned from a Colorado Investment newsletter I found by acciddent is that the 6 leading REITS are in heavy debt. CBL Associates of Chatanooga,Tn one of the most successful is now in trouble. Just check the business section of the Chatnooga Times. I can tell you CBL's property here Pemberton Mall has fallen on hard times. It has lost a number of retailers due to CBL's high rent. Word is I heard they want to close this small mall which opened over twenty years; the bright spot for CBL here has been the Pemberton Plaza where the businesses there are surviving. But why not focus on these REITS who are the landlords of the retailers. Afterall localtion is everything. Like here if twelve retailers have closed down. Which has forced this market to radically shift to the growing Madison area to shop. Just two years over twelve business CBL shut down due to crime or retailers refusing to pay their high rent. But CBL has left this community in a lurch about the fate of thier old mall property. And the Mall Propetier R.W. has been quiet on any new developments for thier old property and CBL hasn't sold any land parcels around thier mall at all. Interesting isn't it?

August 25, 2008 at 4:52 pm

about this blog

  • Brian Sullivan joined FOX Business Network (FBN) in April 2008 as an anchor. He co-anchors the 10am-12pm ET hours of the FOX Business block. Prior to joining FBN, Sullivan served as an anchor for Bloomberg Television where he hosted the programs Morning Call and In Focus.

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