Limited, Other Clothing Retailers Report Sept. Comps Sales Rise

(RTTNews) - A number of U.S. apparel retailers on Thursday reported modest sales growth at established stores for the month of September, despite fading sales during the back two-thirds of the month after an initial week of last minute back-to-school and back-to-college shopping.

Back-to-school season shopping period is the second-largest retail season of the year after the winter holiday season.

The months of September and October are normally a breather between two months of strong back-to-school shopping that began in July and the all-important holiday shopping season that starts in November.

According to the National Retail Federation, US retail sales during the upcoming holiday season is expected to increase 4.1 percent to a three-year high of nearly $617 billion from last year. This is also compared to the 3.1 percent rise in 2013 and the average growth of 2.9 percent over the past decade.

Meanwhile, a report released from the Conference Board on September 30 showed that U.S. consumer confidence expectedly fell from 7-year highs in September, amid concerns about the outlook for employment.

The Conference Board said its consumer confidence index declined to 86.0 in September, down from an upwardly revised reading of 93.4 in August, after having risen for four consecutive months. Economists expected the index to edge up to 92.5 in September, against the initial August reading of 92.4.

Sales at established stores or comparable-store sales is a key retail industry performance metric to gauge activity at store locations that have been open for at least a year.

L Brands, Inc. (LB), the operator of Victoria's Secret and Bath & Body Works chains, said its September comparable store sales increased 6 percent, reflecting strength across its brand stores. Net sales also grew 9 percent to $853.5 million from $786.0 million last year.

Stein Mart, Inc. (SMRT) reported a 4.9 percent growth in comparable store sales for the month of September. Total monthly sales also increased 6.5 percent to $119.4 million from $112.2 million in the prior-year month.

Teen apparel retailer Buckle, Inc. (BKE) announced Wednesday that comparable store net sales for the month of September grew 2.2 percent. Net sales also increased 4.1 percent to $103.1 million from last year's $99.1 million.

Meanwhile, value-priced fashion apparel retailer Cato Corp. (CATO) reported that September same-store sales increased 5 percent. Total sales also grew 9 percent from last year to $79.7 million.

"September same-store sales were above our guidance and also above our current trend," commented John Cato, Chairman, President, and CEO of Cato.

Another specialty retailer of action sports related apparel, footwear, equipment and accessories Zumiez, Inc. (ZUMZ) reported Wednesday that its comparable store sales for September grew 6.6 percent. Total net sales also increased 12.5 percent from last year to $66.3 million.