Based in Fort Worth, Texas, Tandy Leather Factory, Inc. recently reported its sales results for the month of June. Sales for this Zacks Rank 3# (Hold) company increased 7% to $5.9 million from the year-ago period and surged 10% to $38.3 million year-to-date.
The retailer and wholesaler of leather as well as related merchandise operate under three segments, Retail Leathercraft, Wholesale Leathercraft and International Leathercraft. A look at the segments’ performance reveals that retail and international stores sustained their positive momentum, while wholesale stores portrayed a soft performance.
Retail Leathercraft sales jumped 9% to $3.5 million, whereas comparable-stores sales rose 7%. Year-to-date, sales for the segment soared 14% to $22.9 million, while comps grew 13%.
Wholesale Leathercraft sales climbed 3% to $2.1 million but comparable-store sales dropped 4%. As per the year-to-date results, the division posted sales of $13.5 million that inched up 1% from the year-ago period. Meanwhile, comps were up 4%.
Coming to the International Leathercraft segment, sales zoomed 13% to $272,000 and comparable-store sales experienced an equivalent rate of growth. Year-to-date, sales came in at $2.0 million versus $1.5 million last year.
A recovery in the housing market, stock prices gaining momentum, improving labor market, lower gas prices and favorable weather conditions played vital roles to help the consumer confidence move north. These positives aided retailers to generate healthy sales for the month under review, who also resorted to clearance discount.
Among the retailers, clothing chain The Gap Inc. (GPS - Analyst Report) led the pack with a 7% rise in comps and an 8% increase in net sales to $1.53 billion. Off-price retailer of apparels, footwear and accessories Stein Mart Inc. was also on the list of best performers for the month of June. The company registered a 6.5% rise in June comps, while total sales increased 2.6% to $109 million.
Furthermore, discount store operator Fred's, Inc. (FRED - Analyst Report) witnessed a significant improvement with a 4.5% rise in comps, substantially up from the 4% decrease witnessed in Jun 2012. Net sales for June increased 3% to $187.7 million.