Neiman Marcus Q2 Pressured By Macroeconomic Trends

For the 13 weeks ended January 30, the Neiman Marcus Group posted net earnings of $7.8 million versus $27.8 million in the period a year earlier. Comparable revenues in the second quarter decreased 2.4% versus the year-previous period.

Revenues were $1.49 billion versus $1.52 billion in the fiscal 2014 quarter, the company noted, while operating earnings were $85 million versus $118.8 million in the period the year prior.

In a conference call, Neiman Marcus CEO Karen Katz pointed to improved financial trends in the second quarter versus the first, but she noted that lower oil prices, a “skittish” stock market and fewer international tourists challenged the Dallas-based Neiman Marcus operation and exerted pressure on results. That being said, men’s shoes and beauty were strong in Neiman Marcus stores, she noted, as well as Love to Give gifts, which included home decor items.

Digital sales comps increased 5.7% in the second quarter and now represent 30% of Neiman Marcus Group business, Katz noted.