Retail Ventures sees profit on accounting change  

Columbus, Ohio – Off-price retailer Retail Ventures reported a dramatic leap in second-quarter profit to $106.2 million, up a loss of $16.0 million for the same period last year.

However, the gain was attributable to an accounting change from a “change in fair value of derivative instruments” and “hedging activities” -- not to retail operations. The change in value is recognized as earnings, the company said in its SEC filing.

The 383-unit retailer recorded income “related to the change in fair value of warrants” of $99.5 million for the quarter, as well as a charge, or loss, of $15.3 million. For the first half of the year, the yield was: income of $97.4 million and a charge of $80.2 million. Thus for the six months, the net gain to the balance sheet is smaller than for the quarter.

Sales of $732.7 million were up 7.0% from $684.5 million; comps rose 0.3%. Comp sales at upscale Filene’s Basement were up 7.0%, while the lagging discount operation Value City saw a 7.3% comp decline – which the company said was “comprised of declines in all major categories.”

Home & Textiles Today Staff | News & Commentary

 Home Textiles Today is the market-leading brand covering the home and textiles markets, offering a comprehensive package of print and online products. Home & Textiles Today provides industry news, product trends and introductions, exclusive industry research, consumer data, store operations solutions, trade show news and much more.

Featured Video

  • Live From New York: Fashion Comes Across the Pond

    Camera Icon More Videos

Subscribe to
Home & Textiles Today eDaily
Receive the news you need to know about the trends in the industry delivered right to your inbox.


HTT Cover October 2017

See the October 2017 issue of Home & Textiles Today. In this issue, we look at the Top 25 Online Retailers.  H&TT's exclusive annual ranking of the biggest online sellers of home textiles finds that while pure play etailers continue to fly, bricks & clicks are digging into omnichannel. See details!