Inditex shines while Coldwater Creek and Men´s Wearhouse struggle

Wednesday left a

handful of corporate releases that influenced trading at the international main stock markets. Inditex added pressure to ailing high street retailers with another outstanding set of results for the last nine-month period, while Coldwater Creek and Men´s Wearhouse saw weaker than expected figures for the last quarter.

Coldwater Creek Inc.'s stock dropped 10.82 percent Wednesday after reporting that fiscal third-quarter loss has widened due to a sharp fall in same-store sales and receding gross margins. For the quarter ended Nov. 2, Coldwater Creek reported a loss of 23.8 million dollars, or 78 a share. Excluding severance charges, asset impairments and a derivative liability gain in the latest period, the adjusted loss widened to 79 cents a share from 45 cents, highlighted the company Wednesday.

The retailer, which caters to mature women, has seen quarterly losses for the past 13 quarters. The upside is that losses have progressively narrowed down in the past months as Coldwater Creek has reduced expenses. Steadier performance at same-store sales have also helped.

The apparel retailer had already warned results for the latest quarter would miss its previous guidance, remind ‘Nasdaq’ analysis team, since the brand has been evaluating strategic alternatives, including a possible sale. "While we are encouraged by the favorable customer response to recent deliveries, the holiday selling season is still underway and the environment remains highly competitive," President and Chief Executive Jill Dean said commenting the results.

Also Men's Wearhouse Inc.'s reported declining fiscal third-quarter profit, as it noted a 22 percent as the apparel retailer reported higher overhead costs and weaker tuxedo-rental and alteration margins.

Nevertheless, the menswear retailer´s results for the period were better than the general expectations in Wall Street. The company also confirmed its full-year profit outlook. This has been a rocky year for the company, which has found itself involved in a merger soap with rival Jos. A. Bank Clothiers Inc. since October. Its counterpart reported better-than-expected sales growth for its latest quarter.

For the quarter ended Nov. 2, Men's Wearhouse reported a profit of 38.2 million dollars, or 79 cents a share, down from 48.8 million dollars, or 95 cents a share, a year earlier. Excluding acquisition costs and other items, adjusted profit in the latest period totaled 90 cents a share. Total net sales rose 2.8 percent to 648.9 million dollars, as per the company´s latest released figures. Analysts polled by Thomson Reuters expected profit per share to come in at 86 cents on 627 million dollars in revenue.

Elsewhere, Oxford Industries Inc.'s shares gained on fiscal third-quarter earnings fell 70 percent despite growing sales for its brands Tommy Bahama and Lilly Pulitzer. For the current fiscal quarter, the company released per-share earnings estimate to come between 98 cents and 1.13 dollars, up from its previous guidance of 99 cents to 1.09 dollars. It also raised raised its revenue forecast by 5 million dollars – to be now expected somewhere between 255 and 265 million dollars.

In Europe, Inditex has seen their nine-month earnings rose 1 percent on an enlarged retailer network and online trading in Russia. Owner of high street champion Zara reported net profit for the period rose to 1.67 billion euros, ahead of last year´s 1.66 billion euros.

The world's largest clothing retailer showed signs of leaving behind months of warmish sales growth on a promising European recovery boosted pre-Christmas trading and it said global expansion plans remained on track, as stressed by analysts following the stock.