If you've ever trawled a mall, you've likely seen a Brookstone
Today, Brookstone released impressive sales figures for the holiday season (the two months ended Jan. 3), posting a same-store sales increase of 12.6% and an overall revenue boost of nearly 19%. As a result, the company raised full-year earnings-per-share guidance to between $1.25 and $1.27, up significantly from previous estimates of between $1.14 and $1.17, and representing year-over-year growth of 34% (or more).
The holiday season is incredibly important to Brookstone. Look over numbers for its previous four quarters (ended Nov. 1) to see what we're talking about. The retailer had more than twice the revenues in last year's Q4 than it did in any one quarter of this year. All its net profits, meanwhile, generally materialize in Q4. This year has been no exception.
Given that, it's perhaps no surprise that the company's shares have risen all year in expectation of holiday numbers. Brookstone appears to have been well-placed to capitalize on a trend many market observers spotted during this holiday season: Many shoppers, while still not spending as freely as in years past, were nevertheless looking to inject aspects of luxury into their daily lives.
Brookstone, with its distinctive product mix, would be a natural for those folks. Refocused competitor Sharper Image
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Dave Marino-Nachison can be reached at firstname.lastname@example.org.