Vera Bradley, a US-based leading designer of women’s handbags, fashion and home accessories, posted slight decrease its net revenues to $124.8 million during third quarter (Q3) FY20 ended on October 31 compared to $127.5 million in the same period previous fiscal. However, company’s net income in Q3 rose to $8.9 million (Q3 FY19: loss $0.9 million).
“Our quarterly earnings once again significantly exceeded last year’s performance as well as our expectations. Our consolidated e-commerce business was very strong in the third quarter, reflecting growth from both Vera Bradley and Pura Vida,” Rob Wallstrom, chief executive officer of Vera Bradley, said in a press release.
Gross profit during the quarter was $73.8 million ($67.8 million). Selling, general and administrative expenses were $61.7 million ($69.4 million). Operating income for Q3 FY20 increased to $12.1 million (loss: $1.4 million).
For the quarter, Vera Bradley direct segment revenues were flat at $78.2 million ($78.4 million). Vera Bradley indirect segment revenues were down to $22.3 million ($24.1 million), while Pura Vida segment revenues were $24.3 million ($25.0 million).
“Even as our stores were reopened during the third quarter, our Vera Bradley digital business rose nearly 50 per cent over last year. And, Pura Vida’s e-commerce year-over-year sales grew over 17 per cent for the quarter, despite supply chain disruptions. E-commerce sales comprised over a third of total company revenues for the quarter,” Wallstrom said.