• Net sales increased 19.4% to $877.0 million from $734.2 million in the second quarter of fiscal 2014; • Comparable sales (sales for stores open at least 14 months and e-commerce sales) increased 10.1% compared to an increase of 9.6% in the second quarter of fiscal 2014. The 10.1% comparable sales increase was driven by 7.0% growth in transactions and 3.1% growth in average ticket; • Retail comparable sales increased 8.9%, including salon comparable sales growth of 10.1%; • Salon sales increased 19.7% to $51.6 million from $43.1 million in the second quarter of fiscal 2014; • E-commerce sales grew 43.4% to $36.1 million from $25.2 million in the second quarter of fiscal 2014, representing 120 basis points of the total company comparable sales increase of 10.1%; • Gross profit decreased 40 basis points to 34.9% from 35.3% in the second quarter of fiscal 2014 primarily due to supply chain initiatives including the new Greenwood, Indiana distribution center;
Rodale’s winter of upheaval is continuing into the new year.
The company eliminated another 40 positions this week across a variety of departments, stretching the process over the last several days.
The staff reductions, originally reported by the Allentown Morning Call, do not appear to be limited to certain brands or departments.
“Rodale management has made the very painful but strategic decision to eliminate certain positions across the company,” a company spokesperson tells Folio:. “Over the course of the past few days, the impacted employees were notified.”
Rodale declined to be more specific with the staff reduction, citing a “proactive response to industry changes,” but a source inside the company tells Folio: that the cuts affected most if not all of Rodale’s brands, and that many of the departures are director-level staffers or department heads.
“Maria Rodale sent out a company-wide email saying tough decisions were made to cut certain positions,” the source, who requested to remain anonymous, tells Folio:. “I know that all brands except Women’s Health lost someone. It’s very likely that Women’s Health lost people, but I haven’t heard anything.”
Additionally, the source tells Folio: that women’s running vertical Zelle lost its only employee, a part-timer, and will likely be folded.
The cuts, representing about six percent of staff at the privately-held publisher, come on the heels of several other significant cost-trimming moves by the company in recent months.