Warmer weather, enticing spring fashions and rising consumer optimism about the economy boosted February sales for many big retailers above expectations, particularly at clothing stores including Limited Brands, Talbots and J.C. Penney Co. Inc.
The strong results issued early Thursday followed a robust January performance and signaled to analysts that consumers continue to be more confident about spending.
“Consumers are definitely feeling better,” said Todd D. Slater, an analyst at Lazard Freres & Co. “They are more upbeat about their jobs. They have more liquidity, and they’re much more compelled by the fashion offerings.”
Wal-Mart Stores Inc., the world’s largest retailer, announced a 6.2 percent gain in same-store sales in February, beating Wall Street’s estimate of a 4.9 percent increase. Same-store sales are sales at stores open at least a year and are considered a key indicator of a retailer’s health.
Wal-Mart’s total sales were up 14 percent.
ShopKo Stores Inc. reported a same-store sales increase of 2 percent, exceeding Wall Street expectations of 1 percent. Total sales were up 1.8 percent.
Meanwhile, mall-based apparel stores and department stores had a strong performance.
J.C. Penney Co. Inc. posted a 12.1 percent increase in same-store sales at its department stores, well exceeding the 5.6 percent expected by Wall Street. Total sales were up 11.7 percent. The company said sales were strong across all merchandise divisions and benefited from strong response to Valentine’s Day and Presidents Day store events.
Limited Brands posted a 5 percent increase in same-store sales. The figure exceeded the 3.6 percent estimate of analysts surveyed by Thomson First Call. Total sales were up 6.3 percent.
Nordstrom posted an 8.8 percent increase in same-store sales, exceeding Wall Street’s 7.1 percent forecast. Total sales rose 11.8 percent.
Talbots Inc., had a 5.8 percent gain, compared to Wall Street’s 1.7 percent projection. Total sales were up 10 percent.
Several other retailers reported strong gains on Wednesday.
American Eagle Outfitters Inc., which has struggled with sluggish sales, posted a 15 percent gain in same-store sales, slightly above analysts’ estimates of 14.5 percent. Total sales were up 27.3 percent.
The Neiman Marcus Group Inc. had a 24.4 percent increase, well past the 7.4 percent gain Wall Street expected. Total sales were up 24.4 percent.
Saks Inc. posted a same-store increase of 14.7 percent, well exceeding estimates of a 5.7 percent increase. Total sales rose 16.1 percent.
Selected same-store sales for February for other leading retailers:
- Abercrombie & Fitch, same-store sales were up 1 percent gain; total sales were up 21 percent.
- AnnTaylor Stores Corp., same-store sales were up 15.3 percent; total sales increased 26.7 percent.
- Dillard’s Inc., same-store sales were up 2 percent; total sales increased 2 percent.
