Destination Maternity Continues its Comeback
Destination Maternity is on the comeback trail.
Although the Moorestown, N.J.-based retailer saw revenues dip from $143.5 million to $141.6 million in the first quarter of 2015, the company’s stock is soaring. It was at $11.68 in mid-morning trading, up more than 9 percent. (That’s still well below its 52-week high of $25.01 but higher than its 52-week low of $9.98.)
“Our performance was about where we expected given this point in our turnaround,” said Anthony Romano, CEO of Destination Maternity, which has 1,907 retail locations, including 596 stores in all 50 states. He said sales figures suffered in February because of a harsh winter.
The company has been focusing more and more on aggressive promotions to liquidate excess inventory from prior seasons. It’s also trying to be more “customer-focused.”
“It has been a productive quarter. Our culture change is in full swing,” said Romano. “Customer-focused decisions are being made more consistently.”
The company sold its 220,000 square foot Northern Liberties building in fall 2014 to move to Moorestown. After spending $13 million for the building, new owners Alliance Partners HSP has plans to build a co-working space there dubbed SoNo.