It appears retailers were able to carry the positive holiday momentum into the new year after all, as most companies posted better-than-expected same-store sales in January.
While typically the lightest month of the year in terms of volume, and no doubt in large part due to extremely easy comparisons to a year ago, January’s strong performance nonetheless suggests retailers might have finally turned the corner. Preliminary results show total sales increased 5.6% from a year ago to $26.6 billion for the 32 retailers we track, while same-store sales were up 3.3%. This is the fifth straight gain after 12 consecutive months of declines, and the best showing since April 2008.

Retailers were focused on clearance merchandise during the month, and inventories are still being kept extremely tight even as the spring lines are rolling in. Some of the strongest performers in January were not surprising: warehouse clubs Costco (+8.0%) & BJ’s Wholesale (+8.4%), who were helped by gas prices that are nearly 50% higher than a year ago; off-price retailers TJX (+12.0%) & Ross Stores (+8.0%), who have been posting consistently strong results for the better part of a year; teen retailer Aeropostale (+6.0%) which posted its 29th same-store sales gain in the last 30 months. Continue reading ‘January Same-Store Sales Recall the Good-Old Days’


