Trends to Larger Size and 4K TVs Help h.h. gregg Margins Despite $87 Million Q3 Loss
TV trends helped h.h. gregg’s gross margin in the holiday quarter, as its sales mix shifted toward above-margin products such as larger screen sizes and 4K Ultra HD, Janney Capital Markets said in a research note Thursday after the quarterly…
Sign up for a free preview to unlock the rest of this article
Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.
earnings release. The category will have “additional runway going forward,” Janney said, cautioning that gains could moderate based on the need to move older 1080p HDTVs. Overall comparable store sales fell 6.3 percent, an improvement over an 11.2 percent drop in the year-ago quarter, while consumer electronics comp store sales -- including TVs, audio, personal electronics and accessories -- improved to negative 3.9 percent compared with minus 19.7 percent in the year-ago quarter. Computer and tablet comp store sales plummeted 35 percent in fiscal Q3, compared with growth of 24.5 percent in the 2013 quarter. The drop for the computing category was driven by a fall-off in unit demand for computers and tablets, a decrease in average selling prices for computers and tablets and the retailer’s exit from the contract-based mobile phone business during 2014. Excluding mobile phones, comp sales for the quarter fell 29.6 percent for computers and tablets, h.h. gregg said. The company had an $87 million loss on sales of $665.6 million in the quarter.