Anaheim-based Pacific Sunwear of California Inc. struggled during the holidays at its d.e.m.o. hip-hop clothing chain.
Same-store sales at d.e.m.o. were off 2.3% for the five weeks ended Dec. 31 from a year earlier, according to the company.
Pacific Sunwear blamed the weak showing on d.e.m.o.’s clothes for guys. Sales there were down in the low double digits, said Gerald Chaney, chief financial officer.
Stronger sellers included polo shirts, track jackets and denim pants, he said. Not moving so quickly,fleece clothing and accessories.
The bright spot at d.e.m.o.: girls.
Girls, industry speak for teens and young women, have driven gains and helped offset weak men’s sales. They did so again in December, Chaney said. Girls’ same-store sales were up in the high single digits, he said.
Popular items for girls included knit tops and capris pants. Sweaters, T-shirts and fleece weren’t so hot, he said.
PacSun’s overall same-store sales for the period were up 1% with a 1.5% gain at its dominant PacSun chain, which sells surf and skate garb from a slew of Orange County brands, including Hun-tington Beach-based Quiksilver Inc. and Irvine-based Billabong USA.
The company was “disappointed” with girls’ same-store sales at PacSun, according to Chaney. They were down by mid-single digits. Clothes for guys were up by mid-single digits.
“The company focused on protecting margins and profitability with merchandising margins improving for the month,” Chaney said.
Hot sellers in men’s for PacSun included denim, T-shirts and track jackets, he said. Strong items for girls included sweaters and accessories.
PacSun was among a number of retailers that reported mixed results for the holiday period.
Foothill Ranch-based Wet Seal Inc., which is undergoing a restructuring, was among the winners with same-stores sales up 38.5% in December.
Etnies at 20
Lake Forest-based Sole Technology Inc. plans a series of parties to mark its 20th anniversary.
The skateboard shoemaker, known for its Etnies brand, plans to host bashes at its offices in New York on April 6, Paris on June 12 and in Lake Forest on Oct. 21.
The company also launched a 20-Year Footwear Collection, featuring some of its early styles, such as the Lo-cut One, Rap-High and slimmed down versions of the Callicut and Scam shoes.
Plus, Sole plans to take to the road and visit skaters in rural America on its “Small Town Tour.”
The company’s first brand, Etnies, started in France in 1986. Chief executive Pierre Andres Senizergues, a French-born world champion skateboarder, launched it in the U.S. in 1994.
In the past decade, Sole has developed other shoe brands and clothing for men and women.
They include & #233;S (an athletic shoe for skateboard shops), Emerica (an anti-fashion skateboarding shoe also for skate shops) and 32 (a snowboarding boot sold in action sport stores alongside Etnies).
Sales have jumped from about $1 million a year in the mid-1990s to more than $150 million in 2005.
The company has a skatepark near its headquarters, which it built with the city of Lake Forest. The 38,000-square-foot facility is free to skaters because of big donations from Senizergues.
Sole has been adding to its management team to help steer its growth.
The company has been on the hunt to lease or buy two more buildings totaling 250,000 to 350,000 square feet for its growing warehouse and office staff.
In a past Business Journal interview, Senizergues said he’d like to stick to OC and is looking in Lake Forest, Irvine and Cypress.
The company’s Lake Forest headquarters totals 200,000 square feet.
Sole said it plans to hire 50 to 60 workers this year once it moves into the extra space. Departments set to get a boost include apparel, technology, warehousing and logistics. The company now has about 400 workers.
Bullish RiechesBaird
Irvine-based RiechesBaird Inc. is revving up for a big 2006, according to company officials.
Principal Ray Baird said he thinks this year will be the “strongest market” the shop has seen in the past 10 years.
“The economy seems to be holding strong and clients are wanting to put more emphasis on their business strategy by finding top-line growth opportunities,” Baird said.
RiechesBaird said it hopes to build on momentum it saw in 2005, which was its best in three years.
The shop kept a close monitor on clients and the market throughout the year, according to Baird. As clients grew more confident, their budgets increased, he said.
RiechesBaird recently landed work from several companies, including Motorola Inc., Fluidmaster Inc., Dana Capital Group Inc. and Enkeboll Designs.
The shop is working on new business plans and strategies for accounts, and recently launched work for Toyota Material Handling, U.S.A. Inc., an Irvine-based unit of Toyota Motor Corp.
RiechesBaird has some 40 workers and about $50 million in capitalized billings in OC.
