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Pura Vida boosts Vera Bradley's Q2 sales by 10 percent

By Prachi Singh

2 Sept 2020

Vera Bradley, Inc. reported consolidated net revenues of 131.8 million dollars for the second quarter including 32.8 million dollars of net revenues from Pura Vida, an increase of 10 percent. Excluding Pura Vida, Vera Bradley net revenues totalled 99 million dollars, a 13.5 percent decrease. The company said, Vera Bradley’s consolidated net income totalled 7.2 million dollars or 42 cents per diluted share, while on a non-GAAP basis, net income totalled 10.9 million dollars or 32 cents per diluted share.

Commenting on Vera Bradley’s performance, Chief Executive Officer Rob Wallstrom said in a statement: “Total Company year-over-year second quarter revenues grew 10 percent, driven by the addition of Pura Vida for a full quarter and Vera Bradley e-commerce sales doubling, partially offset by a decrease in Vera Bradley store revenues due to Covid-19-related closures for a portion of the quarter. We significantly expanded our consolidated gross margin rate in the quarter through sales of cotton masks, product collaborations, careful inventory management, and tightly controlled promotional activity.”

Vera Bradley posts H1 revenues of 201.1 million dollars

For the six months period, the company’s consolidated net revenues totalled 201.1 million dollars, which included 54 million dollars of net revenues from Pura Vida. Excluding Pura Vida, Vera Bradley net revenues totalled 147 million dollars compared to 205.4 million dollars in the prior year six-month period ended August 3, 2019. The company added that consolidated net loss for the period totalled 8.1 million dollars or 24 cents per diluted share, while on a non-GAAP basis, Vera Bradley’s consolidated net income totalled 0.7 million dollars or 2 cents per diluted share.

The company further said that current year second quarter Vera Bradley Direct segment revenues totalled 81.2 million dollars, a 13.9 percent decrease, resulted from the company’s stores that were temporarily closed as a result of Covid-19 for approximately half of the second quarter, partially offset by a 99.1 percent increase in e-commerce revenues for the quarter. The company closed 12 full-line stores and opened five factory outlet stores in the last twelve months. Vera Bradley Indirect segment revenues totalled 17.7 million dollars, a 11.4 percent decrease, reflecting a reduction in orders primarily related to Covid-19 and in the number of specialty and department store accounts.

Pura Vida segment revenues totalled 32.8 million dollars compared to 5.4 million dollars in the prior year, which represented revenues for a partial period post-acquisition.

Picture:Facebook/Vera Bradley

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