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NEWS UPDATE Party City share price adjustment amid affected sales period Shares of Party City dropped 7.8% in pre-market trading in March 2021 after the party goods retailer reported a fourth quarter adjusted profit, revenue and samestore sales that missed expectations, as the COVID-19 pandemic damaged sales. The net loss narrowed to $96.4 million, or 88 cents per share, from $268.8 million, or $2.88 a share, in the previous period. Excluding non-recurring items, adjusted earnings per share fell to 25 cents from 51 cents and missed the FactSet consensus of 31 cents. Total revenue dropped 11.4% to $648.2 million, below the FactSet consensus of $659.2 million, with total retail sales falling 8.3% given store closures. Brand comparable sales decreased 5.9%, while the average estimate of two analysts surveyed by FactSet was for a 5.5% decline. For the first quarter, the company expects total revenue of $397 million to $410 million, below
expectations of $426 million, while brand comparable sales are expected to increase 26% to 31%. Brad Weston, chief executive officer at Party City said: “We are very pleased with how our organisation navigated 2020, swiftly pivoting to meet the evolving needs of our customers, all while prioritising the health and safety of both our associates and our customers during this pandemic. Throughout the year, we made important Top right and below: Brad believes that Party City entered 2021 in a “substantially stronger position”.
Consumer footfall forecast to rise by +47.9% as retail returns Springboard – a leading provider of data and intelligence on customer activity in stores and destinations – predicts a significant footfall increase as the high street returns and outdoor hospitality re-opens, with 59% increases to be seen in high streets. The agency, which specialises in customer counting and demographic profiling through to sentiment tracking, monitors customer behaviour at a high level of detail. Its latest report predicts shopping centres and retail parks footfall will rise by +46% and 26% respectively in the first week of reopening, while greater rises are expected due to the success of the UK vaccination programme and the concurrent opening of retail and hospitality. The forecast increase in footfall means that it will be +128.5% higher than in the same week in 2020, although it will remain -61.8% below the 2019 level. The announcement of the date for the reopening of retail stores of 12 April will have brought a huge collective sigh of relief among all those involved in bricks and mortar retail. Finally retailers and destinations will be able to capitalise on the pentup demand among shoppers to return to stores.
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strides on our five strategic initiatives, innovating and elevating our customer experience while also significantly improving our financial position and flexibility with our actions to reduce debt and extend maturities. I am extremely proud of all that has been accomplished thus far and the hard work and commitment demonstrated by the entire team as we continue to transform the business. Brad continued: “We enter 2021 in a substantially stronger position, armed with greater consumer insights and a solid foundation to build upon as we further our mission to deliver The Party Platform by advancing the building blocks that we put in place in 2020. We remain intensely focused on our customer and more effectively operating and leveraging our unique North American vertical model as we continue our transformation and further strengthen our industry leadership position.”
The UK Licensing Awards 2021 are open for entries Industry accolades The Licensing Awards 2021 are now open for entry and all of the award categories – including those for licensed products – can now be entered, for free, via the website. The Licensing Awards 2021 (which are owned and organised by Max Publishing – publishers of Progressive Party) will look to recognise and celebrate all licensed product launches, licensing activity and licensed retailing execution in the 12 months up to the end of May 2021. Party and costume suppliers looking to enter the Best Licensed Dress-Up or Partyware Range (which this year is sponsored by Beano Studios) can enter online at www.thelicensingawards.co.uk The category is open to all licensed dress-up, balloons, party favours, party tableware, banners and cake decorations ranges aimed at children or adults. The products had to be launched into UK retail between 1 June 2020 and 31 May 2021. Previous winners of the Best Licensed Dress-Up or Partyware Range have included last year's Very Hungry Caterpillar butterfly dress-up for George@Asda from Christy’s By Design,
the Barbie 60th Anniversary Set from Smiffys, Disney Princess Dress-up for Sainsbury’s from Rubie’s, Marvel Superheroes Dress-Up for George at Asda by Christy’s, Mr Men and Little Miss Dress-Up from VMC Accessories. The Spiderman Airwalker from Amscan International also took home The Innovation Award in 2013. The deadline for entering any licensed product categories is Tuesday 1 June, 2021. As always, entry is completely free. The Licensing Awards takes place on Tuesday 14 September in The Great Room at The Grosvenor House Hotel in London. For sponsorship, entry enquiries or general questions regarding The Licensing Awards, Rob Willis on robw@ max-publishing.co.uk
For the latest news visit PartyWorldwide.net
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