Posts Tagged ‘Bob Rosenblatt’

Evine’s 4Q Sales Drop 10%, To $191 Million

March 23, 2017

Evine joined its two much larger rivals in posting declines in sales in the fourth quarter, seeing its revenue dive 10 percent, to $191 million, the No. 3 home shopping network said Wednesday.

Evine said its drop in net sales was “driven by a $21 million reduction in low contribution margin consumer electronics, which includes management’s proactive $15 million reduction of low margin hoverboard sales.”

“Excluding the effect of hoverboard sales, fourth-quarter net sales declined about 3 percent,” the home shopping network said in its press release.

The company posted net income of $2 million, a 207 percent improvement year-over-year, and adjusted EBITDA of $6.4 million, a 31 percent rise year-over-year.

For all of 2016, Evine registered revenue of $662.2 million, down nearly 4 percent.

http://s21.q4cdn.com/129019908/files/doc_presentations/2016/Evine-Earnings-Investor-Presentation-F16-Q4.pdf

QVC and HSN didn’t have great quarters, either.

QVC’s fourth-quarter revenue dropped 7 percent, to $1.9 billion, and was down 2 percent in 2016 versus the prior year, to $6.1 billion. HSN saw its sales dip 1 percent in the fourth quarter, to $769.3 million, and slip 3 percent last year, to $2.7 billion.

Evine CEO Bob Rosenblatt had plenty to say.

“This is the fourth quarter in a row that we have expanded our gross margin rate, improved our cash position and grew our Adjusted EBITDA on a year-over-year basis,” he said in a canned statement.

“I’m very proud of our team and these results, particularly in light of the challenging macro retail environment. As previously noted, we continue to be on a different journey from our closest competitors. Our strategy to rebalance our merchandising mix and implement expense discipline has positioned us well for an exciting 2017.”

And that wasn’t all.

“Looking to 2017, we believe this will be another strong year of building shareholder value,” he said. “Our merchandising plan will remain focused on delivering a balanced assortment of profitable proprietary, exclusive and name brand products.  We will continue to work hard to engage our customers more intelligently by leveraging the use of predictive analytics and interactive marketing to drive personalization and relevancy to each experience.”

And even that wasn’t all.

“And equally important, we will continue to find new methods, territories and technologies to distribute our video commerce programming beyond the television screen,” he said.

“This will include growing our revenues in social, mobile, online, and over-the-top platforms like Amazon Firestick, Apple TV and Roku, and also exploring thoughtful bricks and mortar retailing partnerships that leverage our video commerce expertise to build a bridge between traditional retail and e-commerce.”

In the fourth quarter wearable categories, which include jewelry and watches, fashion and accessories, and beauty posted “solid revenue performance, and together grew by 2 percent,” according Evine.

“However, this growth was more than offset by a 55 percent decline in the consumer electronics category, of which more than two-thirds of the decline was related to not repeating the low-margin hoverboard sales from last year,” the network said in its press release.

In a call with Wall Street analysts, Rosenblatt gave a shout out to us jewelry hounds.

“We had several well executed jewelry events during the quarter, this included our Diamond Day event in November, which resulted in 18 percent improvement in productivity over the last year,” he said, according to a transcript from Seeking Alpha.

“In addition, we are able to be the first company to market the Burmese tuby which only recently became available to the U.S. market after 10 years. The customer responded when we experienced the 30 percent higher productivity versus our base jeweler business. In addition, we had a successful January Gem week as we continue to have success selling a wide variety of gem stones to our very loyal jewelry customers.”

http://seekingalpha.com/article/4057152-evines-evlv-ceo-bob-rosenblatt-q4-2016-results-earnings-call-transcript?source=email_rt_article_readmore&auth_param=1cprs8:1cd5fo1:d6d068b63def7b8390aafca68547c67e&uprof=53&dr=1http://seekingalpha.com/article/4057152-evines-evlv-ceo-bob-rosenblatt-q4-2016-results-earnings-call-transcript?source=email_rt_article_readmore&auth_param=1cprs8:1cd5fo1:d6d068b63def7b8390aafca68547c67e&uprof=53&dr=1

Evine is also steaming  ahead with its conversion to HDTV.

“And as we have discussed our conversion to high definition TV is expected to be completed in launch by September,” Rosenblatt told analysts.

“We started the process of converting to high definition TV in the third quarter of fiscal 2016. We remained on track with this initiative. Phase I which included camera replacements and a transition to 16:9 aspect ratio which completed in the fourth quarter and Phase II which includes HD switcher replacements is set to be completed this spring. The final Phase will be completed by fall at which time we will be fully broadcasting in high definition. This transition to HD will improve our customer’s viewing experience which we believe will result in incremental sales.”

 

 

Evine To Post 4Q Results March 22

March 2, 2017

Evine will report its fourth-quarter earnings on March 22, before the market opens, the No. 3 home shopping network said Wednesday.

CEO Bob Rosenblatt and Chief Financial Officer Tim Peterman will hold a conference call at 8:30 a.m. to review the results and Evine’s strategy and plan for 2017.

Those interested in participating in the conference call should dial 1-877-407-9039 at least five minutes prior to the call.

There will be a simultaneous audio webcast available at the following link: http://event.on24.com/wcc/r/1282713/98B01DB2607F20329275F010EA22A090.

A replay of the conference call will also be hosted on the company’s website for a limited time.

Evine To Debut Weekly Beauty Program

February 7, 2017

Evine is ramping up its efforts to cash in on the very lucrative beauty biz on home shopping.

The No. 3 home shopping channel announced on Monday that it will be doing a weekly beauty program, which is is what HSN does on Thursday nights with its “Beauty Report” and QVC does on Friday nights. Evine’s effort will air on Wednesdays.

Here’s the press release:

Evine to Premiere “Evine Beauty Experience”

Debuting February 8, the weekly program will support the company’s fast-growing beauty business, which has seen significant growth over the past three years

MINNEAPOLIS, Feb. 06, 2017 (GLOBE NEWSWIRE) — Evine Live Inc. (“Evine”) (NASDAQ:EVLV), a multiplatform video commerce company (evine.com), today announced that it will premiere “Evine Beauty Experience,” a new weekly program created to support Evine’s fast-growing beauty business, which has seen significant growth over the past three years. The show will debut Wednesday, February 8 and become a destination for Evine’s beauty community and a place for launching new products and technologies.

“‘Evine Beauty Experience’ is an opportunity for customers to be at the forefront of the beauty industry…to experience what industry-insiders get to experience every day: being the first to discover the ‘next big thing,’” said Teresa Harris, Vice President of Beauty at Evine. “It’s an amazing way to build a sense of community by engaging our customers with a blend of entertainment and education, along with an exciting lineup of trend-driven products and technologies. Not only does it fill a need of our viewers, but ‘Evine Beauty Experience’ will also serve as an important part of our growing beauty business by giving us an outlet to launch new products and build brands. I can’t wait for our customers to ‘experience’ the future of beauty.”

“Evine is quickly becoming a destination for beauty brands looking to reach a new audience and tell their brand story,” said Bob Rosenblatt, Chief Executive Officer at Evine. “Beyond just being a destination, we’ve earned a reputation as being a retailer that not only invests in building brands, but provides a video commerce platform to bring their story to life in a way that traditional retail can’t. As a result, we’ve experienced significant growth in our beauty category over the past few years. I’m immensely proud of our ability to bring to our customers some of the most innovative and exciting brands in the market – new products and technologies they can’t find anywhere else.”

Premiering Wednesday, February 8, “Evine Beauty Experience” will air every Wednesday at 8pm ET and Thursday at 11am ET and feature a variety of cutting-edge products from both well-known and smaller, independent brands. Setting itself apart from other beauty shows on Evine, “Evine Beauty Experience” will have the same hosts each week, something Harris says is key to building trust and rapport with customers.

“Heather Hall and Erin Newburg are more than just hosts…they’re on the front-lines with our buyers selecting the product we bring to Evine. When customers shop ‘Evine Beauty Experience,’ they’re not only getting access to the latest beauty trends, but they’re getting advice and information from a trusted authority and friend,” continued Harris.

Leveraging all of Evine’s video commerce platforms, the show will include social engagement elements to build community and allow customers the chance to ask questions directly to on-air talent. “Evine Beauty Experience” will also utilize Instagram Live to provide additional off-air content for fans, including live roundtable discussions with industry experts.

Evine Sales Drop 7 Percent In 3Q, To $152 Million

November 22, 2016

The hits keep coming to home shopping networks in the third quarter, and we don’t mean that in a good way.

Evine, the No. 3 channel, released its earnings on Tuesday, and its announcement “buried the lead,” as we say in journalism, about the sales drop. Net sales declined 7 percent, to $152 million.

The good news is that Evine stopped some of the flow of red ink during the quarter,

Its net loss was $3.9 million, a 25 percent improvement year-over-year, with adjusted EBITDA of a positive $2.5 million, a 1,400 percent improvement year-over-year. Gross profit as a percentage of sales increased 210 basis points to 36.6 percent compared to 34.5 percent in the third quarter of last year.

All the major home shopping networks took a beating in the third quarter, with QVC seeing its revenue dive 6 percent, to $1.3 billion, just a day after HSN reported that its sales had slid 3.5 percent, to $569.7 million.

The only one to have an upbeat report was Jewelry Television, which said that its third-quarter sales rose 10.6 percent.

“I’m pleased with our progress as we continue to improve profitability through a disciplined merchandising mix that prioritizes contribution margin,” Evine CEO Bob Rosenblatt said in a canned statement.

“For consecutive quarters, we have been expanding our gross margin rate, improving our cash position, lowering our net loss and improving our EPS by refining our mix of compelling merchandise, focusing on our most successful product categories, and engaging our valued customers via a personal shopping experience.”

Bob had quite a bit to say, actually.

“I am also proud of the progress we made this quarter toward our 2017 revenue growth strategy that centers on gathering a world-class team to help us cultivate our products, attract the right new customers based on their digital lifetime value, and create a culture that can drive sustainable revenue growth,” he went on.

“This progress includes filling out our executive management team with the recent hire of Lori Riley, SVP, Chief Human Resources Officer; launching new high quality beauty brands, like Sirot and CoverFx; launching new fixed programming blocks like Paula Deen on location in Savannah, Georgia, and attracting leading industry advisors to help us bring new brands, products and personalities to our business, as we have done with Tommy Hilfiger and Tommy Mottola.”

Wearable categories, which include Jewelry & Watches, Fashion & Accessories, and Beauty, posted strong revenue performance, and together rose 3 percent. The growth in wearables was offset by a 66 percent decline in the consumer electronics category.

Return rate for the quarter was 20.5 percent; an increase of 160 basis points year-over-year, driven by product mix shifts.

These results were primarily attributable to a 4 percent operating expense reduction of $2.7 million year-over-year, driven primarily by lower content distribution costs and decreased accrued incentive compensation, which were partially offset by higher expenses in marketing, and higher variable expenses resulting from increased credit costs and increased labor costs in customer solutions and fulfillment center.

EPS for the fiscal 2016 third quarter improved to ($0.06), which includes $600,000 in executive and management transition costs and $200,000 in distribution facility consolidation and technology upgrade costs. EPS for the fiscal 2015 third quarter was ($0.09), which included $800,000 in executive and management transition costs, $100,000 in costs associated with the implementation of the Shareholder Rights Plan, and $300,000 in distribution facility consolidation and technology upgrade costs.

The outlook for the rest of the year isn’t rosy. Evine said that it expects revenue in the fourth quarter to be negative low to mid-single digits on a year-over-year basis.

Evine Live Sales Rise 5 Percent To $167 Million

May 26, 2016

Sorry folks, but we have to keep this short because we have to be in the office at 6 a.m. this morning to do early cop checks.

On the bright side, Evine Live reported $167 million in revenue in the first quarter, a 5 percent increase year-over-year.

On the dark side, the No. 3 home shopping network also saw an increase in its losses, up 5 percent to $4.9 million, according to press release Wednesday.

Beauty was the fastest-growing category at 19 percent versus the prior year, followed closely by fashion at 18 percent, home and consumer electronics declined by 4 percent and jewelry and watches declined by 2 percent.

The return rate for the quarter was 19.2 percent, an improvement of 110 basis points year-over-year.

Gross-profit dollars increased 7.2 percent to $61.4 million. Gross profit as a percentage of sales increased 60 basis points to 36.8 percent.

Adjusted EBITDA increased to $3.4 million primarily due to improved merchandising margins and increased discipline in operating expenses and shipping and handling margin.

Operating expenses increased $3.8 million year-over-year to $65 million, a 6 percent increase, driven primarily by a $1.4 million increase in variable costs from an 8 percent increase in unit volume, and a $1 million increase in executive and management transition costs.

Earnings-per-share for the first quarter decreased to ($0.09), which includes $3.6 million in executive and management transition costs and $80,000 in distribution facility consolidation and technology upgrade costs. In comparison, EPS for the fiscal 2015 first quarter was ($0.08), which included $2.6 million in executive and management transition costs.

“The Evine team executed extremely well given both the recent changes at the company and the challenges we are seeing in the overall retail marketplace,” Bob Rosenblatt, chairman and interim CEO, said in a canned statement.

“By bringing added discipline and a greater commitment towards building a cohesive, more balanced business strategy, we’re proving that we can deliver both great exciting products to our customers, and improved profitability to our stakeholders.”

The network also announced an improved inventory position, which decreased 6 percent versus the same period last year, the largest decrease since the fourth quarter of 2012, and an improved gross margin, which increased 60 basis points versus the same period last year to 36.8 percent.

Evine Live also noted that it recently hired two new members of the senior leadership team: Nicole Ostoya as chief marketing officer and Michael Henry as chief merchandising officer.

“Both Nicole and Michael are exciting additions to the Evine family, each with great track records in their previous endeavors,” Rosenblatt said. “Together they will bring more energy and focus to attracting new customers while capturing an even greater share of wallet from our existing shoppers.”

Here is Seeking Alpha’s transcript of the Evine Live analyst call:

http://seekingalpha.com/article/3977776-evine-lives-evlv-ceo-robert-rosenblatt-q1-2016-results-earnings-call-transcript?auth_param=1cprs8:1bkbt1c:cbef2e929e6d867e0a89511b1f6d4e1e&uprof=53&dr=1

Evine Live To Post First-Quarter Results May 25

May 7, 2016

Evine Live will release its first-quarter results May 25 before the market opens at 6 a.m., the home shopping network said last week.

Interim CEO Bob Rosenblatt and Chief Financial Officer Tim Peterman will hold a conference call at 8:30 a.m. to review the quarter.

Those interested in participating in the conference call should dial 1-877-407-9039 (domestic) or 201-689-8470 (international) at least five minutes prior to the call.

The passcode is: 13636785. There will be a simultaneous audio webcast available at the following link:

http://event.on24.com/wcc/r/1176920/A3129645CE068C4868B20E81F9DA49DA

A replay of the conference call will also be hosted on the company’s Investor Relations website for a limited time, which can be found at: http://www.evine.com/ir.

Evine Live Names Chief Marketing Officer

April 24, 2016

Evine Live has made some management shifts.

The No. 3 home shopping network has appointed Nicole Ostoya as executive vice president and chief marketing officer and promoted Lee Goehring to vice president of merchandising for the home and consumer electronics categories.

Ostoya previously served as Evine Live’s interim chief marketing officer, with oversight of marketing, creative, e-commerce and broadcasting. Her retail resume includes 28 years with Nordstrom, where she held buying and merchandising positions, as well as holding the position of full-line store Manager for several of their larger stores.

Ostoya was eventually recruited by LVMH to work on one of their flagship properties, Benefit Cosmetics, as director of business development. She successfully launched Benefit Cosmetics on QVC, helping bring the brand to life on television. Since then, she has run a public company, and launched several companies as an entrepreneur, including the beauty brands The New Black and Kissing Elixirs.

“Nicole’s nearly 30 years of retail experience, where she drove the development of countless brand and customer acquisition strategies, will greatly enhance our ability to grow our customer base and generate greater awareness of the Evine Live brand,” Evine Live Chairman Bob Rosenblatt said. “The addition of her to the EvineE Live team shows our investment in furthering our growth strategies.”

Goehring has more 20 years of experience in retail merchandising and product development. Previously at Evine Live, he held the role of director and divisional merchandise manager of the consumer electronics category.

Prior to Evine Live, he served for five years as vice president of National Accounts at TRG, a sales and product development company that created and distributed various product lines to national retailers.

Goehring also spent five years at Target Corp. in the role of senior buyer and lead merchant, leading electronics and video games for the online division, and eight years at Best Buy Corp. in the role of senior buyer, where he was also involved in the electronics category.

“The promotion of Lee to vice president of our home and consumer electronics product categories reinforces our commitment in building a cohesive merchandising strategy with a greater emphasis on products and brands that drive customer acquisition and retention,” Rosenblatt. “Lee’s proven ability to foster strong, long-term vendor relationships will allow us to be even more opportunistic in the marketplace.”

Skin Care Expert Sonya Dakar Brings Line To Evine Live

April 16, 2016

Beverly Hills skincare expert Sonya Dakar will debut her “Beauty Bootcamp,” a collection of anti-aging products, on Evine Live on May 6 and 7.

The Evine Live big guns came out for this press release.

“We’re thrilled to welcome Sonya Dakar to the Evine Live family and can’t wait to share her more than three decades of skincare experience with our viewers,” Chairman and interim Bob Rosenblatt said in a canned statement.

“Sonya has worked with some of the biggest names in Hollywood, including A-list actors and actresses, top models and award-winning musicians, and now for the first time, she’s accessible to every woman in America. That’s an experience that only Evine Live can deliver and the reason why this premiere is so special.”

Dakar has been in the beauty business since 1971.

“Starting her business out of her home, word quickly spread throughout Hollywood that if you wanted great skin, you had to see Sonya” Evine Live’s gushy press release said.

“Her popularity quickly grew, and what started as a Hollywood secret soon flourished into an award-winning brand. Today, Sonya works with clients at her luxurious five story skin clinic located in the heart of Beverly Hills. Her daughter, Mimi, who has learned the family business and now serves as Creative Director of the Sonya Dakar empire, will join her mother on Evine Live.”

And Dakar’s canned statement was there, as well.

“When clients walk into my clinic, it’s my goal to provide them a one-on-one treatment and a luxurious, unforgettable experience.,” she said.

“The Beauty Bootcamp collection allows me to do just that, but in a way that’s affordable for all women. “Not only is this collection exclusive to Evine Live, but it’s the only skincare in the world that features our proprietary BioStem technology outside of our clinic. This is a must-have for anyone wanting to feel younger and more radiant. I can’t wait to join my daughter Mimi on Evine Live and introduce the world to my newest collection.”

Dakar will offer seven kits. The collection features the exclusive BioStem technology.

Evine Live Makes $5 Million In Layoffs, Cutbacks

March 24, 2016

It’s late and we’re tired, but we’re reading a transcript of Evine Live’s fourth-quarter earnings call with Wall Street analysts on Wednesday. See what we do for you guys! Anyway, we’ve already seen a bit of a bombshell.

In the transcript, provided by Seeking Alpha, CFO Tim Peterman said, “Last week, we enacted a reduction in workforce and other related costs that will result in approximately 5 million in annualized expense savings. We will continue to look for more ways to make our business more efficient.”

http://seekingalpha.com/article/3960623-evine-lives-evlv-ceo-bob-rosenblatt-q4-2015-results-earnings-call-transcript?part=single

Interim CEO Bob Rosenblatt, who took over for ousted chief Mark Bozek, said that 45 full-time employees were laid off. We wonder if Connie Kunkle’s “early retirement” was related.

“It is mostly a matter of being able to be more efficient and more effective in terms of streamlining the organization and most of the positions were in corporate, that we took the positions out of,” Rosenblatt said according to Seeking Alpha’s transcript.

“And they ranged in high-level positions all the way down since it was 45 positions all the way down to staff positions but it was done in surgical manner and of course some other people that remain having the additional responsibilities.”

Rosenblatt also indicated that he had no plans of transforming Evine Live from a watch network, saying that the category distinguishes the channel.

He said that sales in beauty were especially strong, with brands such as Consult Beaute doing particularly well.

“On the jewelry side, we made a deliberate decision to reduce airtime which boosted productivity for the category,” Rosenblatt said. “Sales were down versus the fourth quarter of prior years, but I’m happy to report that the jewelry area continues to be one of our customers’ favorite categories.”

That’s right, Bob!

“Within the categories we experienced particularly strong sales in the following area,” he said. “Gems en Vogue, we had sales of over 11 percent; luxury diamond designer brands in general were over 104 percent. Our gemstone designer brands were up to 2 percent and our sterling silver sales were up 20 percent.”

Evine Live sold a lot of Hoverboards during the holidays, and then stories broke about the boards erupting in fire and users suffering a lot of injuries. Rosenblatt addressed that issue.

“We’re mindful of the continued situation regarding the Hoverboard products and we’ll continue to monitor the situation as our customer safety is always a prime concern of ours,” he said. “However, as you know Hoverboard’s only represent one of more than tens of thousands of products that we offer at Evine Live and as retailer these occasional issues are not unexpected.”

Someone Tell Interim Evine Live CEO It Already Is The Watch Network

February 14, 2016

Following the ouster of Mark Bozek, Evine Live’s interim CEO gave the Minneapolis Star Tribune an interview last week where he said he will be reviewing the home shopping network’s product mix.

http://www.startribune.com/interim-ceo-of-evine-live-vows-to-review-merchandise-mix/368247531/

But we were a little puzzled by the comments made by Bob Rosenblatt, the HSN alum who now at the helm as CEO of the No. 3 home shopping network. He also holds the title of chairman.

Rosenblatt, part of a dissident group that included Bozek and defeated prior management, said,. “We’re going to be reviewing very carefully the merchandising mix on air. That doesn’t mean I’m planning on going back to us being a jewelry and watch network.”

What the heck? Has he been watching the network recently? It should be called the Evicta Network.

Rosenblatt lives in New York and Florida. We guess he doesn’t like the weather in Minnesota, but he doesn’t sound very committed to Evine Live so far if he hasn’t relocated there already.

He’ll be commuting to Minneapolis, he told the Star Tribune.

In the interview, Rosenblatt credited Bozek with diversifying Evine Live’s product lineup but added but that some of the newer categories, like clothing, weren’t profitable enough.

And in an ominous message to Evine Live’s vendors, Rosenblatt said that arrangements with them will continue as long as they make money for both sides.

We wonder who doesn’t fit in that particular category.