A Quarter to Forget For Many Retailers

Last night concluded the Q1 earnings season for a majority of the key retailers. For many of those retailers, Q1 was one to forget. Some of the data points I was left with:

  • Nordstrom Full Line and Nordstrom Rack posted the worst negative comps since the depression at -5.1% and -0.6% respectively.

  • Kohls surprised many with a -3.4% comp (first negative since Q2 2017) and now saying there will be negative earnings growth for the full year.

  • Ross and Burlington posted slowing comps versus previous quarters.

With all of that said, there was some positive news:

  • Costco remains on fire posting the 5th consecutive month of >7.0% comp in the US.

  • Walmart and Target both posted respectable increases of 3.4% and 4.8% respectively.

  • TJ Maxx remains hot with 4th consecutive quarter of >6.0% comp.

  • Dollar Stores continue to gain share with 2.5-4.0% comp increases.

The trends continue. Department Stores losing share to the mass, off price and dollar stores continues with the data showing there is no slowing to the shift.

@ryanmcraver Retail Comp Sales